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      • Collateral Risk Parameters
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      • Base Rate
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    • Understanding Liquidations vs Redemptions vs Repayment
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  • User Guide
    • How to connect to Orby Network
    • How to borrow $USC
      • Opening a new shuttle
      • Borrowing more $USC
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      • Repaying debt partially
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      • Depositing $USC
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    • How to stake $esORB/$ORB
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      • Getting the Best Exchange Rate
      • VVS Swap Widget
    • How to recover collateral after liquidation
    • How to recover collateral after redemption
    • Glossary of Terms
  • Additional Info
    • Smart Contract Addresses
    • Price Oracle
    • Team Wallets
    • Risk Disclosure
    • Terms of Use
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    • Bridging
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  1. Overview
  2. Supported Collateral

Collateral Risk Parameters

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Last updated 3 days ago

The minimum collateral ratio (MCR) works to ensure that $USC remains overcollateralized at all times. Every shuttle must have a debt position above MCR in order to remain active.

To recap, collateral ratio is calculated as follows:

Collateral ratio = (amount of collateral in USD / amount of $USC borrowed in USD) * 100

The MCR is dependent on our risk assessment of the underlying collateral type.

Collateral Type
Parameter

CDCETH & CDCBTC

Minimum Collateral Ratio (MCR)

135%*

CDCETH & CDCBTC

Total Collateral Ratio (TCR)

150%

CDCETH & CDCBTC

Collateral Cap

N.A.

*The minimum collateral ratio displayed on Orby's website will be 140%. We provided a 5% buffer to ensure that users do not get immediately liquidated

LCRO

Minimum Collateral Ratio (MCR)

130%*

LCRO

Total Collateral Ratio (TCR)

150%

LCRO

Collateral Cap

N.A.

*The minimum collateral ratio displayed on Orby's website will be 135%. We provided a 5% buffer to ensure that users do not get immediately liquidated

Commonly asked questions

What is Total Collateral Ratio (TCR)?

Total Collateral Ratio (TCR) is the average of all shuttle's collateral ratio.

  • TCR = total dollar value of the respective collateral / total dollar value of the corresponding debt

If TCR falls below the specified threshold (in this case it's 150%), then all shuttles with $cdcETH will go into Recovery Mode. You can read more about Recovery Mode and its impact on you .

here