Collateral Buffer
A collateral buffer is extra value kept above the minimum needed to support a loan.
Category
Lending Safety
These concepts explain coverage, carry costs, forced closure, and how much can be borrowed.
How to recognize this theme
Terms you see when a loan is secured by collateral.
In a daily board, this category groups terms by their shared role. Look for four cards that describe the same mechanism, risk area, or workflow rather than four words that merely sound similar.
Educational context
These entries are vocabulary notes for learning. They are not project endorsements, token recommendations, exchange rankings, or trading signals.
Interest Accrual
Interest accrual is the steady accumulation of borrowing cost over a position's lifetime.
Liquidation Trigger
A liquidation trigger is the level at which a loan becomes unsafe enough for forced closure.
Borrow Limit
A borrow limit is the most value a lender will extend against a given collateral base.