Proposal to raise Max Leverage in some Farming Pools in ALPACA FINANCE

The current Leverage allocation of Farming Pools is only 3 Max leverage which cannot utilize all the current TVL.

I think we should raise the max leverage to x10 with some pools like BTC/BUSD, CAKE/BUSD, CAKE/BNB or some Grazing range Partners projects x10 max leverage farming pool which can create huge demand to stake fast to earn huge APY.

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People will get liquidated faster with a 10x leverage. The platform should keep the leverage relative low so we can milk out fees as much as possible from opened positions. Keeps the herd happy and cashflow fairly constant.

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I don’t know enough about his this leverage increase would affect the Alpaca service. I trust the leadership team to make appropriate decisions about the service that will maximize benefit for all.

I trust the Alpaca team more than the herd on issues like this to be honest.

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We don’t need increased leverage it will increase risk of liquidation. We do not need maximum Tvl utilization this will cause the inability to withdraw funds for landers and increase the cost of the loan.

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I think OP should provide some more numbers to back up the suggestion. For example, how much an asset could go down to result in liquidation with 10x leverage. That’s way people here would have more information to vote on.

If we allow all participants to have high leverage, the number of cases of liquidation will increase, and the borrowing interest rate will fluctuate sharply, making it difficult for general users to use.

If you accept leverage that is 10 times higher, why not limit the range, such as limiting it to a wallet that has 10 Alpies?
The price of Alpie may go up …

an increase in the shoulder will attract new people.

  1. many people use liquidation as a stop loss
  2. a larger percentage will cover Impermanent Loss (IL)
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Higher leverage for Alpies holders is already on the roadmap. Roadmap - Alpaca Finance

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