Payment of Hourly Fees

Maintaining a Loan on Liqfinity Every loan on Liqfinity has a health score. As long as the loan is healthy, it remains open indefinitely. Hourly fees are the main factor that reduce health.

How It Works

• Hourly Fees: Charged on all active loans and deducted from your USDT wallet, or they accumulate if unpaid.

• Loan Health:

  • At 100% health, your loan is fully safe.

  • As unpaid fees build up, health decreases.

  • At 0% health (when unpaid fees = 90% of your collateral’s current USD value), your loan is automatically closed.

• Collateral Handling: When a loan is closed:

  • The platform keeps the collateral.

  • It may sell part or all of it only if needed to cover unpaid fees owed to liquidity providers and the platform.

  • You keep the full USDT loan (minus entry fee), but the collateral is no longer yours.

Example: You deposit 1 BTC as collateral when BTC = $100,000 → borrow $100,000 USDT. If BTC drops to $50,000, then 90% of $50,000 = $45,000. If unpaid fees reach $45,000, loan health hits 0% → the loan is closed, and the BTC is kept by the platform.

24-Hour Top-Up Rule

To ensure loans don’t remain open without coverage:

• Liqfinity monitors your USDT wallet balance.

• If unpaid fees exceed your balance, you’ll receive a 24-hour notice to top up.

• If no top-up happens, the platform will close your loans automatically.

How to Keep Loans Healthy

• Repay Fees Frequently: Keeping fees under control maintains high health, lowers future costs, and prevents automatic loan closure.