$VIRTUAL
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Verbatim Community Citations & Social Evidence 1 source posts analyzed
Every SLP pool has a Minimum Liquidity floor. Minimum Coverage does the same job for the Junior tranche. The floor exists to keep enough liquidity in the pool. Set it at 10%, and the pool blocks withdrawals once it hits that level. The team that launches each market picks this
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AI visual note: A diagram titled 'The Minimum Liquidity Ratio' shows the formula (SLP Pool Capacity / Total Senior Tranche), its function as a hard floor, and its purpose to protect Senior tranche absorption, by ROYCO.