Keep the token. Understand the risk.
Locking ITL may let a user access USDT without an immediate sale. Retained ownership does not freeze collateral value. Predict, shock, and recover a transparent teaching position.
3D unavailable.
The synchronized formulas and controls remain active below.
The synchronized formulas and controls remain active below.
ITL COLLATERAL10,000
USDT DEBT2,500
COLLATERAL USD$5,000
HEALTH FACTOR1.50
Worked reasoning
The token count stays. The safety margin does not.
Ownership is retained while the position satisfies its collateral rules. Price changes the dollar value supporting the debt; a top-up uses the new price, and repayment changes the denominator directly.
10,000 × $0.50 = $5,000Initial collateral. HF = $5,000 × 0.75 ÷ 2,500 = 1.50.
10,000 × $0.25 = $2,500After the shock. HF = $2,500 × 0.75 ÷ 2,500 = 0.75.
12,000 × $0.25 = $3,000Top-up is not enough. HF = $3,000 × 0.75 ÷ 2,500 = 0.90.
$3,000 × 0.75 ÷ $1,800 = 1.25Repayment recovers. Lowering debt by 700 USDT restores the modeled buffer.
Transfer challenge
Can you size a new position?
New case: 15,000 ITL at $0.30, then a 45% price drop. With the same hypothetical 75% threshold, choose the maximum debt that keeps target health factor at 1.25.
POST-SHOCK PRICE$0.165
COLLATERAL VALUE$2,475
THRESHOLD VALUE$1,856.25
TARGET HF1.25
Maximum debt = collateral value × threshold ÷ target health factor.
Evidence of learning
Export the reasoning, then verify real terms.
Check official contract addresses, audits, oracle design, liquidation rules, fees, and current availability before any real decision.