When a user's collateral value falls below the required 150%, (relative to their minted DYAD), they can be liquidated. Anyone can trigger a liquidation. The liquidator repays the outstanding minted DYAD and receives collateral, plus a 20% bonus, in return. With the launch of DYAD V2 it is now possible to partially liquidate a position. The mechanism works the same as described above, only a liquidator can opt to 'partially fill' a position that is eligible for liquidation. With partial liquidations, users can work together to liquidate positions that would otherwise be too large to tackle.

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