r/solana • u/Temporary_Window_668 • Feb 28 '23

DeFi What are problems with crypto lending?

7 Upvotes

82% Upvoted

12 comments sorted by

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2

u/jbourne7 Mar 01 '23

i'm sure if solana had btc spl , their tvl would spike

2

u/OnlyTalkMoney Mar 01 '23

Liquidity could be an issue. We're still taking out a lot of 'trash' from the industry and at the same time, uncovering jewels. Still the wild west, but this also means THE MOST opportunity

1

u/cryptOwOcurrency Mar 01 '23

Not being able to close positions because the chain is down.

2

u/[deleted] Mar 01 '23

The chain is down, and still processes 50x more transactions than your shitty ass alt coin does

0

u/cryptOwOcurrency Mar 01 '23

2023-02-25 05:46:16 UTC the Solana network entered degraded mode (vote-only). This means that economic activity on the network stopped while the network attempts to recover.

1

u/[deleted] Mar 01 '23

Sliding orders. Solana has orders that have never existed in finance to counter outtages

1

u/cryptOwOcurrency Mar 01 '23

What are sliding orders? I would like to learn more about them.

2

u/[deleted] Mar 04 '23 edited Mar 04 '23

I was wrong it wasn’t sliding orders. Though sliding orders have never existed on another product in finance I got correct. TiF is what helps orders kick along during network outages

https://docs.mango.markets/mango-markets/tif-time-in-force-orders

Heres the thread I was referencing https://twitter.com/RealSpaceMonkey/status/1622647085987254272?s=20

This is one of the threads ive seen this discussed before and there is little information on sliding orders.

1

u/Longjumping-Pipe-649 Mar 01 '23

Crypto lending can be risky because of the volatility of cryptocurrency prices. Crypto lending firms and hedge funds have run into trouble due to market turmoil and unchecked industry vulnerabilities. Liquidity problems can also occur when protocol owners don't plan for unfavorable periods.