As Curve Averts DeFi Death Spiral, Fiasco Exposes Serious Risks

“I do not essentially assume it is a signal of unethical conduct, nevertheless it does open up dangers — precisely as you’ve got seen happen — and the dangers should not too onerous to foretell,” remarked Powell. “If in case you have a $100 million mortgage, and you’ve got that on leverage, and it is towards your token, there’s an opportunity your token may drop in value and also you’ll must liquidate it to cowl your self.”