When it comes to lending and borrowing, don’t pretend to be calm when the liquidation line is just three steps away... I usually do three things first: take a screenshot of the health score for record (don’t ask, it really helps), break down the positions to see which one is dragging behind, then either add some collateral or pay off a chunk first, don’t think about “waiting for a rebound.” Honestly, if you get liquidated once, your mentality will be off for a long time afterward.

Recently, everyone has been comparing RWA, US bond yields, and on-chain yield products, and I find it a bit funny: no matter how attractive on-chain yields are, they can’t withstand your borrowing red line suddenly being pushed to your face. When interest rates turn, the liquidation price moves accordingly, don’t just focus on APY.

My habit here is: within three steps of the red line, don’t leverage up or add to positions, better to earn less and focus on staying alive steadily. We’ll talk more next time.