Today we're launching delayed liquidation - a protection mechanism built exclusively for $LISTA token holders on Lista Lending. Starting now, eligible borrowers gain breathing room above the standard liquidation threshold, so a brief wick on the chart doesn't have to mean a closed position.
Liquidations are a necessary part of any healthy lending market - but they shouldn't punish users for short-term volatility on otherwise sound positions. Delayed liquidation introduces a tiered protection system that rewards committed $LISTA holders with a 24-hour window, without ever putting protocol solvency at risk. This is also the first benefit we’ve introduced to $LISTA holders following the approval of LIP-024.
Normally, when a position’s LTV exceeds its LLTV on Lista, a liquidation will be triggered.
With delayed liquidation, eligible borrowers will get a buffer - a higher, new LLTV threshold to protect your positions for 24 hours for selected markets. As long as the LTV does not rise above the new LLTV threshold, borrowers will have 24 hours to repay their loans or add more collateral to bring the LTV down to avoid liquidation.
Eligibility and total protected position cap is determined by your time-weighted average $LISTA balance over the past 7 days:
Tier | 7-Day Weighted Average Balance | Total Protected Position Size |
Tier 1 | ≥ 10,000 $LISTA | ≤ $10,000 |
Tier 2 | ≥ 50,000 $LISTA | ≤ $50,000 |
Tier 3 | ≥ 200,000 $LISTA | ≤ $200,000 |
Tier 4 | ≥ 1,000,000 $LISTA | ≤ $1,000,000 |
Tier 5 | ≥ 5,000,000 $LISTA | ≤ $10,000,000 |
Tier 6 | ≥ 15,000,000 $LISTA | ≤ $50,000,000 |
We’ve also reworked our lending dashboard to better demonstrate the status of your lending positions:
Guarded: LTV is below the original LLTV. The position is healthy and pre-qualified for protection if the market moves against you.
Protected: LTV has crossed the original LLTV but below the new LLTV. A 24-hour grace period begins. Consider repaying your loan or adding collateral to bring its LTV down.
Out of Guard: Delayed liquidation is not active either due to insufficient $LISTA holdings or the remaining tier capacity was exhausted when its LTV crossed the original LLTV. A liquidation will be triggered.
If after 1 or more partial liquidations, the remaining tier capacity is enough to cover an Out of Guard position, this position will be Protected once again.
Currently, delayed liquidation is only available on selected mainstream assets borrowing markets. For a detailed list of these markets, please see Appendix.
With delayed liquidation, you can monitor your tier status, position state, and remaining tier capacity directly from the Lista Lending dashboard.
This is one of several upcoming utilities designed to make $LISTA the most useful token in the BNB Chain DeFi stack. More to come - stay tuned.
Hold. Borrow. Stay Guarded.
Currently, delayed liquidation is only available on these markets:
Collateral | Loan | Original LLTV | New LLTV |
|---|---|---|---|
BTCB | U | 86% | 92% |
BTCB | USD1 | 86% | 92% |
BTCB | USDT | 80% | 92% |
slisBNB | BNB | 96.5% | 97% |
slisBNB | lisUSD | 85% | 92% |
slisBNB | USD1 | 86% | 92% |
slisBNB | U | 86% | 92% |
slisBNB | BNB | 96.5% | 97% |
USD1 | BNB | 80% | 92% |
USD1 | U | 96.5% | 97% |
USDT | BNB | 85% | 92% |