How does collateral quality impact DeFi market risk?
This chart from the Credora Platform plots Probability of Default (PD) vs Probability of Significant Loss (PSL) across 120+ collateral assets and 300+ markets.
Higher PD generally means higher PSL—but that’s not the whole picture.
Market risk is shaped by more than collateral.
Loan/collateral pairs, oracles, LLTVs, and liquidity all matter.
See the full breakdown: https://t.co/utXxPfcNu4