UIP002 - Reduce The LTV Ratio to 0 for TUSD


This proposal aims to reduce the LTV (Loan-to-Value) ratio for TUSD to 0.


The TUSD stablecoin experienced a slight depegging on November 22nd, dropping to as low as 0.9955 before restoring its peg. This incident was primarily due to a surge in selling orders.

The incident highlights the potential impact of large order blocks on liquidity and the potential for slippage. Therefore, we propose reducing the Loan-to-Value (LTV) ratio for TUSD to 0 in order to more effectively mitigate potential risks and enhance the protection of our users and assets within the Unitus ecosystem.


Asset Parameter Current Proposed
TUSD Loan-To-Value 85% 0%
  • Applicable to all networks where USDC is active.

Original post: UIP002 - Reduce The LTV Ratio to 0 for TUSD - UIP - Unitus