I do support lowering collateral as proposed. I’ll hold off my comments on rewards and why I do not support it in the way described.
Put it to the vote! the ayes have it.
-increase loan value to 35% of collateral value
-remove reward threshold
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I like the suggested changes.
So, I would like to start with complimenting to the new forum where an in depth discussion takes place.
OT, I miss the discussion on what would the most optimal LTV ratio be. I myself do not know this, however looking at other DeFi projects can be insightful but without knowing why they are changing or having 35% it is pointless to compare in my honest opinion.
Moving to 35% can be optimal, but why not immediatly go for 50%. For me this would be ok as well. I understand that with the volatility of crypto as a whole, this would imply serious risk management. However, it can also provide serious opportunities when the utility of Balanced increases.
The last question I have is what is best for utility of the platform. If that is 35%, than OK for me. But let’s say 50% LTV attracts more users, this would be more appealing to me.
What are community members thinking on their preferred LTV %?
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I agree with you. A higher LTV limit allows people to really leverage their crypto portfolio at a 0% interest rate rather than having to take out more traditional loans. I do think it will attract more users to balanced. I’m even supportive of a 1% p.a interest rate on bnUSD loans as a way to generate more fees for baln holders. A 1% interest rate is still phenomenal! Plus if you can then convert it into another stablecoin like ust and earn through anchor or usds on OMM.
Awesome discussion, great to see the interaction from the community.
I’m curious when we might see a proposal surrounding this discussion?
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Announcement coming soon to vote on these topics!
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