What happens if crypto prices drop?

[lingriiddd]

Interestingly, the mortgage terms typically remain unchanged even if your crypto collateral drops in value. Unlike margin loans, borrowers are not required to add more collateral if prices fall.

However, there is still risk. If you fail to make mortgage payments (usually after ~60 days), your pledged crypto can be liquidated. So while price volatility doesn’t trigger margin calls, defaulting on the loan can still cost you your assets.

[The_Walking_Dead]

No margin calls sounds nice… until liquidation hits later .

[Patapim]

Delayed risk is still risk....