What is the "Debt-in-Front" value in Liquity?
Last updated
Last updated
The Debt-in-Front value that you can see for your Trove in our Liquity dashboard represents the cumulative value of debt (in LUSD) of all Troves that have a lower collateralization ratio than your specific position (i.e. the referring Trove).
This value can be useful for determining the redemption risk when using Liquity, since the riskiest Troves (Troves with the lowest collateralization ratio in the protocol at the time of redemption) are the ones that are redeemed first.