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The community supports Donzo's proposal to use LINK.e, with its high liquidity of $64 million, as collateral on the AVALANCHE market, potentially stimulating increased activity. The suggested parameters for implementation, mirroring those of the AAVE token, have also been well-received.
The discussion primarily revolved around the proposal put forth by Donzo to use LINK.e as collateral on the AVALANCHE market. The rationale behind this suggestion was the high liquidity of LINK.e, which stands at 64 million dollars on Trader Joe. This figure is significantly higher compared to other tokens such as WBTC.e and DAI. The expectation is that this move could potentially stimulate increased activity on the AVALANCHE market1.
In terms of specifics, Donzo recommended that the parameters for the AAVE token on the AVALANCHE Market be followed. These include a 40% Loan to Value (LTV), a 65% liquidation threshold, and a 20% reserve factor2. This proposal was met with strong support from other community members, notably Josef3.
In conclusion, the community seems to be in favor of the idea of using LINK.e as collateral on the AVALANCHE market. The high liquidity of LINK.e and the potential for increased market activity make this a compelling proposition. The suggested parameters for implementation also appear to be well-received. However, it remains to be seen how this proposal will be implemented and what impact it will have on the AVALANCHE market.
Posted 2 years ago
Last reply 2 years ago
Summary updated 2 months ago
Last updated 06/12 00:43