What is Collateral Release?
Collateral release is the process that allows borrowers to request a return of a portion of their collateral when the Loan-to-Value (LTV) ratio decreases due to an increase in the value of the collateral.
If the price of your crypto assets rises, reducing the LTV below the starting threshold, you can recall part of your collateral.
Collateral Release Thresholds: Here are the margin recall thresholds based on each cryptocurrency’s current maximum starting LTV:
Bitcoin (BTC):
Max starting LTV: 60%
Collateral Release Threshold: 50% LTV
Ethereum (ETH):
Max starting LTV: 55%
Collateral Release Threshold: 45% LTV
Solana (SOL):
Max starting LTV: 45%
Collateral Release Threshold: 35% LTV
How to Request a Collateral Release:
Monitor your LTV ratio via your dashboard. If your LTV drops below the collateral release threshold, you will be able to recall part of your collateral.
Submit a collateral release request via the chat function on your dashboard, by sending your account manager an email/text or by emailing [email protected].
Add a withdrawal address in your dashboard. For instructions on how to do this see this help center article.
Once your request is processed, the specified amount of collateral will be returned to you, and your new LTV will be updated in the system.