BENQI to Reduce QI Collateral Factor on September 3rd

BENQI will reduce the collateral factor for paused QI positions in Core Markets from 40% to 20% on September 3rd at 09:00 UTC.The change applies only to paused assets, while active Core Markets will remain unaffected.Refer to the official tweet by QI:🔺 Important update for BENQI users with PAUSED market positions.BENQI is reducing collateral factors for PAUSED assets in Core Markets, starting with .Sept 3, 09:00 UTC - collateral factor 40% → 20%Sept 10, 09:00 UTC - 20% → 0%Active Core Markets are NOT affected.… QI InfoBENQI is a DeFi protocol developed on the Avalanche network, comprising two main components: BENQI Liquid Staking (BLS) and BENQI Liquidity Market (BLM). BLS provides a liquid staking solution for Avalanche, allowing users to earn yields on staked capital, while BLM facilitates a lending and borrowing environment for crypto-assets through smart contracts.The operational mechanism of BENQI involves BLS, which enables users to stake with Avalanche validators and use the staked assets without lock-up periods. BLM, on the other hand, operates as a lending and borrowing protocol on the Avalanche network, allowing users to lend, borrow, and earn interest on their crypto assets. The protocol is fully automated through smart contracts, calculating yields algorithmically based on supply and demand, and enabling over-collateralized borrowing.QI is the native token of BENQI, serving dual roles as a governance and utility token. It is essential for managing and voting on proposals within the BENQI DAO, influencing the protocol’s direction, including economic policies, security upgrades, and further development. Additionally, QI allows for staking, earning delegation rewards, and provides enhanced functionality within the BENQI ecosystem.