Collateralization under stress
Falcon Finance's assessment for RD-F-068 — scored not_applicable on the v1.7.0 rubric. The evidence below is the curator's reasoning for this score.
Evidence summary #
Not applicable per taxonomy PD-024 (lending-specific). Falcon Finance has no traditional LTV ratio or on-chain liquidation threshold. Analog risk (off-chain collateral buffer < 110% under stress) is materially captured in F069 (yield dependency + insurance fund adequacy). Dynamic overcollateralization ratios for USDf are not fixed or published in docs.
Detail #
Docs (docs.falcon.finance/mechanism/collateral-acceptance-and-risk-framework): 'Specific ratios are published on the Falcon Finance Mint page' — not in docs, not static. Taxonomy PD-024 designates F068 as lending-only.
Sources #
- URLFalcon Finance Docs — Collateral Framework (dynamic ratios on Mint page only)https://docs.falcon.finance/mechanism/collateral-acceptance-and-risk-frameworkretrieved 2026-05-12
Methodology #
Determine whether under curator-defined stress scenario (top-3 collateral assets drop 50%), protocol net collateralization falls below 110%.
See the full factor methodology and distribution across all protocols →