Crypto LTV and liquidation price calculator.

Enter your collateral, loan and thresholds. See the LTV, health factor, margin-call and liquidation prices, then stress the position and size what restores a target LTV. Nothing leaves your browser.

Non-rehypothecated credit lines Launch App

Calculator

Position

Collateral
USD
Enter the price you want to test. The tool does not fetch market data.
Loan
Thresholds
%
The LTV a margin call asks you to restore.
%
Illustrative default. Use the threshold in your loan agreement.
Presets are LLTVs approved by Morpho Governance[1]. Your lender sets the actual threshold.
Staking

Results

Current LTV 50.00% Loan / collateral value $600,000
Health factor 1.54x LLTV / LTV[2]. Healthy above 1.00x.
Margin-call price $42,857.14 28.57% below spot
Liquidation price $38,961.04 35.06% below spot
40% drop
10%40%70%
Status at the shocked price
Liquidated LTV is at or above the LLTV, so the position can be liquidated.
Shocked price $36,000.00
Shocked LTV 83.33% Health factor 0.92x
To restore 50% LTV at the shocked price, either
Add collateral $240,000 6.6667 BTC at the shocked price
Or repay principal $120,000 in USDC

Illustrative calculator. Results depend on the inputs you enter. Nothing here is an offer or financial, investment, legal or tax advice. For qualified counterparties only.

LTV vs. LLTV & rehypothecation

The five terms behind a crypto-backed loan, and how each one applies to a non-rehypothecated Rekord Capital Markets (RCM) credit line.

LTV vs. LLTV and rehypothecation
Term What it means Non-rehypothecated structure (RCM)
LTV Loan divided by the current market value of the collateral[2]. It rises as the collateral price falls. Measured against the pledged position, which stays with your qualified custodian. Neither RCM nor Rekord AG takes possession[10].
Margin-call LTV The LTV at which the lender asks for more collateral or a partial repayment. In a US brokerage margin account the firm can also sell without notice[7]; for a crypto loan the terms are in the loan agreement. Options banding eliminates margin calls under normal market conditions[10].
LLTV The liquidation loan-to-value: above it the position can be liquidated. On Morpho it is fixed per market from a governance-approved list that includes 62.5%, 77% and 86%[1]. Collateral is held under qualified custody arrangements and perfected security interests[10].
Health factor Collateral value × LLTV / borrowed amount, equal to LLTV / LTV. Above 1.0 the position is healthy[2]. Aave uses a weighted average liquidation threshold in place of the LLTV[3]. Computed from the same LTV and LLTV. Collateral and cashflows are anchored and attested on Rekord Kloud and the Proof Console[10].
Rehypothecation Any use of client assets by a financial intermediary, for example pledging a borrower's collateral to a third party[4]. In 2023 the CFTC alleged that Celsius pooled customer digital assets and deployed them as loans[5], and the SEC alleged that Celsius misled investors about the safety of their assets[6]. With Rekord Capital Markets (RCM) credit lines, pledged BTC and ETH stay in segregated custody with a qualified custodian. Zero rehypothecation: the collateral is never lent on[10].

Formulas used above: LTV = D / (C × P). Health factor = LLTV / LTV. Margin-call price = D / (C × margin-call LTV). Liquidation price = D / (C × LLTV). Top-up = D / T − collateral value. Paydown = D − T × collateral value. Where C is units, P is price, D is principal and T is the target LTV.

RCM · Rekord Capital Markets

Borrow against BTC and ETH while custody stays put.

Rekord Capital Markets (RCM) extends USD credit lines against pledged BTC and ETH. The collateral stays in segregated custody with a qualified custodian and is never lent on. Custody never moves: neither RCM nor Rekord AG takes possession.

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Learn the fundamentals.

Plain-English guides from the Rekord Education Hub on the concepts behind this page.

All guides
What is LTV? Loan-to-Value explained for crypto loansMoney and credit LTV vs LLTV: origination threshold vs liquidation triggerCollateral Liquid staking tokens (stETH, rETH, cbETH)Crypto and DeFi

Frequently asked questions

How is the liquidation price calculated?

Liquidation price = loan principal / (collateral units × LLTV), the price at which LTV reaches the LLTV. With 10 BTC pledged against a $300,000 loan and a 77% LLTV, the liquidation price is $300,000 / (10 × 0.77) = $38,961.04, a 35.06% drop from a $60,000 spot price. The margin-call price uses the same formula with the margin-call LTV instead of the LLTV.

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What is the difference between LTV and LLTV?

LTV (loan-to-value) is the loan divided by the current value of the collateral, so it moves with price. LLTV (liquidation loan-to-value) is the threshold above which the position can be liquidated. On Morpho, each market fixes its LLTV at creation from a list approved by Morpho Governance, and the value cannot change afterwards. An off-chain lender sets its own thresholds in the loan agreement.

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What is a health factor?

Morpho defines the health factor as collateral value × LLTV / borrowed amount, which equals LLTV / current LTV, and treats a position as healthy above 1.0. With the defaults here, 0.77 / 0.50 = 1.54. Aave uses the same form with a weighted average liquidation threshold in place of the LLTV, and a position becomes liquidatable when the health factor falls below 1.

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What happens at a margin call?

For a US brokerage margin account, the SEC explains that the firm can require a deposit of cash or securities immediately, or sell securities without informing you in advance, even if it has said you have a number of days to cover. For a crypto-backed loan, the trigger, any time to respond and the remedies are set by the loan agreement. This calculator shows both ways to restore the target LTV at the shocked price: add collateral or repay principal.

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Is my collateral rehypothecated with RCM?

No. With a Rekord Capital Markets (RCM) credit line, pledged collateral stays in segregated custody with a qualified custodian and is never lent on. Custody never moves: neither RCM nor Rekord AG takes possession.

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Does staking yield change my liquidation price?

Rewards that stay in the pledged position raise its value: as more units, or as a rising exchange rate for a wrapped token such as wstETH, whose balance stays constant while its value in stETH grows. Either way the collateral is worth more at the same underlying price, which lowers the liquidation price in proportion. The staking offset models this as simple, non-compounding accrual at the APR you enter. Ethereum rewards vary with the validator's effective balance and the number of active validators, and slashing removes a validator with a loss of staked ether, so treat the result as an estimate.

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Sources

The definitions, formulas and figures on this page come from these documents.

  1. Morpho Docs, Variable Rate Market (Morpho Blue) LLTV definition and the governance-approved LLTV list (38.5%, 62.5%, 77%, 86%, 91.5% and up) behind the presets
  2. Morpho Docs, Liquidation LTV and health factor definitions; health factor = collateral value × LLTV / borrowed amount, healthy above 1.0
  3. Aave, Help Center: Liquidations Aave health factor, which uses the weighted average liquidation threshold; liquidation below 1
  4. Financial Stability Board, Re-hypothecation and collateral re-use (January 2017) Definition of re-hypothecation as any use of client assets by a financial intermediary
  5. CFTC, Press Release 8749-23: CFTC Charges Alexander Mashinsky and Celsius Network (13 July 2023) Allegation that customer digital assets were pooled and deployed by Celsius as loans
  6. SEC, Press Release 2023-133: SEC Charges Celsius Network Limited and Founder Alex Mashinsky (13 July 2023) Allegation that Celsius misled investors about the safety of customer assets
  7. SEC Investor.gov, Glossary: Margin Call Margin call in a brokerage account: deposit may be required immediately and securities may be sold without notice
  8. ethereum.org, Proof-of-stake rewards and penalties Validator rewards scale with effective balance and the number of validators; slashing removes a validator with a loss of staked ether
  9. Lido Docs, wstETH wstETH balance stays constant while its value in stETH rises with rewards
  10. Rekord, For Digital Asset Holders RCM credit lines: segregated custody with a qualified custodian, zero rehypothecation, custody never moves, options banding

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