Traders are required to deposit collateral before they can commence trading activities.
The Collateral Manager smart contracts serve the function of managing collateral deposits on LeverFi, and performs the following platform functions:
- Deposit of collateral
- Withdrawal of collateral
- Deployment of collateral for yield generation
- Validation of collateral using Chainlink oracles (Collateral Liquidity)
Addition or removal of collateral can be done via protocol governance.