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Lido’s Proposed Fallback Exits Update

Lido Lend, a proposed lending protocol from Lido contributors, could let ETH lenders shrink borrowers' positions before liquidation if its final rules make healthy loans eligible for collateral withdrawals. Fallback Exits would cover a lender's withdrawal shortfall with borrower collateral while reducing the affected debt. However, borrower eligibility and the token-versus-claim delivery interface remain unsettled.

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