Why is there no feature to auto-swap supplies to higher LTV, triggered on account health?

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The discussion initiated by Blakelapierre highlighted the potential risks of Aave.com lacking an auto-swap feature, which could lead to users' supplies being taken by the Aave treasury or cause "liquidation spirals". EzR3aL responded that while Aave.com doesn't offer this feature, other protocols like DefiSaver and Instadapp might, raising questions about Aave's future development direction.

The discussion was initiated by Blakelapierre, who raised concerns about the lack of a feature on Aave.com that would auto-swap supplies to higher LTV based on account health. He argued that this absence could potentially put users at risk of having their supplies taken by the Aave treasury, and could even lead to "liquidation spirals" 1,7.

In response, EzR3aL pointed out that while Aave.com itself does not offer this feature, other protocols built on top of it, such as DefiSaver and Instadapp, might. He suggested that the feature has not been developed yet and may not align with what the Aave Companies are doing for the protocol 4,6.

The discussion did not reach a definitive conclusion, but it highlighted the potential risks associated with the lack of an auto-swap feature on Aave.com and the possible solutions offered by other protocols. It also raised questions about the direction of Aave's development and whether it would include such a feature in the future.

Posted 4 months ago

Last reply 3 months ago

Summary updated 2 months ago

Last updated 08/12 04:39