Health and Borrowing Power
The health meter indicates how close your Prime Account is to insolvency. If your health meter shows 100%, you have not borrowed any funds, and there is no risk of becoming insolvent. If your health meter shows 2%, your Prime Account is on the brink of insolvency. Depending on your constructed portfolio, this most likely means that a small price movement in your held or borrowed assets will make your Prime Account insolvent.
Tokens available on DeltaPrime have different borrowing powers: If you deposit $100 USDC, you can borrow up to $500 USDC or AVAX before liquidation; but if you deposit $100 PNG, PTP or QI, you can't borrow anything against it. USDC has 5x borrowing power, PNG has 0x.
As your Prime Account is cross-margin, your borrowing power is shared across tokens. For more information on how it's calculated, read the health calculations below. If you instead want a simpler way to interpret the health meter, read the interpretation. Lastly, you can play around with your own health meter in the Health Playground.
https://docs.google.com/spreadsheets/d/1wukyfAj641H4xBva6G1DVIzrauyn1sazYZoD1qGCcIo/edit#gid=479001345
docs.google.com
Link to Health Playground. Go to "File" and "Make a copy" to change the variables and create your own paper portfolio!
Last modified 3mo ago