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On-Chain Finance

Loan-to-Value and Health Factor

German: Beleihungsauslauf und Health Factor

Ratios expressing borrowing against collateral value and the distance to the liquidation threshold, recomputed continuously from oracle prices.

Why people look this up

Practical intent: how close a position is to being liquidated and what buffer is prudent.

Auf Deutsch

Beleihungsauslauf und Health Factor Kennzahlen für das Verhältnis von Kredit zu Sicherheitenwert und für den Abstand zur Liquidationsschwelle, laufend anhand von Orakelpreisen neu berechnet.

Looking for how this maps to its traditional-finance counterpart rather than a standalone definition? See the Term Bridge, which also flags where the obvious analogy is wrong.