I now mostly watch my lending positions, basically focused on “how many steps away from the liquidation line.” When it’s really down to just three steps left, I usually don’t think about bottoming out and flipping back. Instead, I do three small things first: reduce the leverage a bit (even if only a little), keep more stablecoins as padding; swap the collateral for something with less volatility (so I don’t lose sleep); and turn on all the reminders—don’t count on yourself to watch the chart every time.



Recently, everyone has been arguing whether the whole setup of stacking yields from re-pledging / shared safety is “a matryoshka” (nested) way of doing things—I can relate a bit. The yields look lively, but when liquidation comes, that liveliness doesn’t count. Only liquidity and time matter.

What I’ve learned isn’t a technique, but this: near the red line, prioritize staying alive—don’t mistake “being able to hold” for “being supposed to hold.”
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