Is there a standard (hard) liquidation in CurveUSD?

The short answer is, yes.

There is a "hard" liquidation in CurveUSD protocol that is set to a point when the Health of the position goes to 0%.

Despite the fact that after getting soft liquidated the position would have $crvUSD as both collateral and debt asset (crvUSD/crvUSD), hard liquidation can happen after - or even during the soft liquidation process.

There are two main reasons for hitting the hard liquidation point:

  • Borrowing fees - increasing the debt over time

  • Losses during the soft liquidation process due to price swings

Related Articles:

  • CurveUSD

  • Dashboard & Use-case

  • Available assets & compatibility

Last updated