Health Ratio
Health Ratio
The Native TAL formula introduces a Health Ratio, which regulates access to the smart pairing liquidity of total available liquidity in Native Credit Pool.
Default Value: Initially set at 1.0.
Dynamic Adjustment: May change based on factors affecting the on-chain liquidity of an asset.
How Does the Health Ratio Work?
The Health Ratio governs the maximum liquidity an asset issuer can access:
When an asset issuer deposits tokens into the Native Credit Pool, they can immediately access liquidity equivalent to the bootstrapped liquidity in the pool.
To increase available liquidity, asset issuers can:
Improve their Health Ratio by meeting performance or liquidity criteria.
Contribute more liquid assets to pair with their single-sided LP tokens.
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