Collateral Factor

The reserve factor is the percentage of Fee paid to Iron Bank. If the reserve factor is 10, then that would imply that 10% of the interest paid on the asset is for Iron Bank.

In the other hand, the collateral factor is the maximum you can borrow on a particular asset.

Example: The collateral factor for ETH is 75%, if the price of ETH is considered as $1000, the max you will be able to borrow in other assets is worth $750

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