Crypto Miners Face Margin Calls, Defaults as Debt Comes Due in Bear Market
— Lenders, Protections, Crypto, Machines, Wright said, Calls, Actual liquidation price, Time, Cases — 1 min read
LTV can be calculated with the value of bitcoin or machines at the time the loan is given out. But a lender should consider what the actual liquidation price will be when the time comes, Wright said. Some lenders took on more risk than others, in terms of the protections that they have in place in cases of defaults and how they calculated LTV, he said. LTV is based on the amount of a bitcoin or machine that is liquidated at a time of the loan given out, he added. The value of a loan should be based on a liquidation value, he explained. For more information, visit www.cnn.com/moneyloan.com for all the latest loan news. In the U.S. Source