2026-01-14 23:32:27

The latest smart contract upgrade just rolled out with some meaningful improvements to the lending protocol.

A critical collateral handling bug has been patched. More importantly, the liquidation mechanism got a complete overhaul—now when liquidators settle borrowed debt, any leftover collateral gets returned directly to borrowers instead of being swept away. This shifts the incentive structure for users underwater on their positions.

There's also a new repayment feature going live: Recast allows borrowers to tackle loans in installments rather than all at once. The UI controls should be available soon.

The best part? All these upgrades happen at the smart contract level. Users don't need to do anything—no migrations, no redeposits. The protocol evolves underneath while your funds stay secure.

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Blockblind

· 01-17 23:22

Nah, this time there's really something. After the liquidation mechanism was changed, those who get liquidated finally don't have to lose everything. Installment repayment is also a necessity.

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DegenDreamer

· 01-17 09:02

ngl, this upgrade actually seems to have some substance, especially with the liquidation mechanism being changed... the previous system was really problematic.

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TideReceder

· 01-15 00:02

NGL, this upgrade is pretty good. They finally fixed that frustrating collision liquidation... In the past, being liquidated meant losing a layer of skin, but now at least you can recover the remaining collateral. It feels a bit more humane now.

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CryptoGoldmine

· 01-15 00:01

This liquidation mechanism improvement is interesting. Directly returning excess collateral can indeed reduce the borrower's risk exposure and is more friendly from an ROI perspective.

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GasFeeCrying

· 01-15 00:00

Oh no, has the liquidation mechanism changed? Then those who got liquidated before must be crying their eyes out... Finally, some conscience has been awakened.

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fren_with_benefits

· 01-15 00:00

ngl this update looks pretty good, especially after the overhaul of the liquidation mechanism, it feels much friendlier to us leveraged traders.

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MidnightMEVeater

· 01-14 23:51

Good morning everyone, I almost burst out laughing when I saw this news at 3 a.m.—they finally changed the liquidation mechanism. The old tactic of wiping out collateral entirely was really extreme. Now they’re returning it to the borrower? How many sandwich robots will become unemployed because of this? But don’t celebrate too early; the incentive structure for liquidators has changed. Whether the midnight arbitrage window will be compressed depends on what happens next. The Recast installment repayment feature sounds good, but I’m worried it might become a new liquidity trap—human nature is the most tempting part to exploit. The no-migration upgrade is honestly a highlight, saving us a gas war. But I’m more curious about how the folks in the dark pool will respond to these changes.

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