I am sure of my staked ibtc balance and it has gone down in value. Meaning the staked ibtc balance was higher just a few days ago and has gone down fractionally. I have not moved the staked balance. Can someone please explain this asap?
I guess your balance went done as a result of CDP liquidation… I would let Indigo team confirm, but I understood that debt is reimbursed by staked iAsset when a CDP is liquidated. When it is the case, you get corresponding ADA + 20% over collateral… check your ADA rewards, it should have increased accordingly…
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as @Cardaflow suggested, indeed your Stability pool position is not fixed. Once someone is liquidated, the protocol collects the amount of iBTC in the CDP which was liquidated FROM the stability pools (i.e. proportionally from each user who supplied iBTC in the stability pool) to burn this amount of iBTC and as an incentive, the protocol proportionally distributes the seized collateral (i.e. ADA) from the liquidated CDP to those users who supplied iBTC in the stability pool. So in simple terms, your supplied iBTC gradually gets sold for ADA (whenever there is iBTC CDP is liquidated) with the premium vs the market price at the time of each liquidation (i.e. your iBTC is sold for ADA at better price than the market). You can see how much ADA you have in the stability pool details (ADA rewards). You can withdraw it and buy iBTC and refill your stability pool position to its initial state and keep the ‘change’ in terms of extra ADA.