Expected User Behaviors
Generally, borrowers call functions that trigger Vault operations on their own Vault. Stability Pool users (who may or may not also be borrowers) call functions that trigger Stability Pool operations, such as depositing or withdrawing tokens to/from the Stability Pool.
Anyone may call the public liquidation functions and attempt to liquidate one or several Vaults.
JUSD token holders may also redeem their tokens and swap an amount of tokens 1-for-1 in value (minus fees) with Collateral.
Swap Pool Liquidity providers either mint new jAssets out of their Vault or deposit them directly from their balance.
DEX vs Oracle Price
110% Premium
Short opening + Vault Liquidation: 1. $1100 collateral Vault, 2. $1000 short position (asset minting + DEX sell), 3. > $1100 stable return. Trove is not relevant anymore, can get liquidated. Profit: difference between 1 and 3 (112% premium would result in a 2% profit).
≤ 110%
All Vaults are collateralized by a minimum of 110%, as a result, lenders are willing to pay up to 110% to rebuy their debts to withdraw their collateral.
Stablecoin < 100%
Redemption: users can use their stablecoins to repay debts of other lenders and gain the collateral as reward with a valuation of $1 per coin.
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