Apollo Protocol
  • GET STARTED
    • What is Apollo Protocol?
    • What is SORA Network?
    • What is Polkaswap?
    • How to use?
  • Function
    • Depositing
    • Borrowing
    • Liquidation
    • Governance
    • Farming & Staking
  • Assets
    • Listed tokens
    • Risk parameters
    • Utilization rate
    • Interest rate model
  • Tokenomics
    • Native token
    • Allocation
    • Circulation
    • Airdrop
    • Lenders & Borrowers allocation
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  1. Function

Liquidation

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Last updated 1 year ago

Liquidation is a process that occurs when of a borrower falls below 1 because the borrower's collateral does not adequately cover the value of the deposit/borrow. This can happen when the value of the collateral decreases or the value of the deposit/borrow increases with respect to each other. Therefore, after the liquidation, as previously explained in the , 80% of amount liquidated will be used for APOLLO token buyback.

The liquidation penalty depends on the asset used as collateral. You can find every asset's liquidation penalty in .

How to prevent from liquidation

Users should add more collateral or repay some of their debt before their Health Factor (HF) drops below 1 to prevent liquidations.

Depositing
Risk Parameters
HF