Lending Mechanics
Rehypothecation
The practice of using deposited collateral for other purposes, such as lending it to additional borrowers. Common in CeFi — was a key factor in the 2022 crypto lending collapses.
Why Rehypothecation Matters
Understanding rehypothecation is essential for anyone participating in crypto lending or DeFi markets. This concept directly impacts how you evaluate platforms, manage risk, and optimize returns.
Master Crypto Lending
Get weekly deep-dives on concepts like rehypothecation, platform analysis, and market trends. Free, no spam.