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![PalladiumLabs Avatar](https://lunarcrush.com/gi/w:24/cr:twitter::1767905786301493248.png) Palladium Labs [@PalladiumLabs](/creator/twitter/PalladiumLabs) on x 34.3K followers
Created: 2025-07-22 11:48:25 UTC

What is the Liquidation Reserve?

A small portion of $PUSD is set aside when you borrow to cover gas costs if your Trove is ever liquidated. It’s refunded when you close the Trove — a fair safety mechanism. ⛽

![](https://pbs.twimg.com/tweet_video_thumb/GwdaMn2XcAAlzKQ.jpg)

XXX engagements

![Engagements Line Chart](https://lunarcrush.com/gi/w:600/p:tweet::1947624774089556089/c:line.svg)

**Related Topics**
[$pusd](/topic/$pusd)
[chapter 11](/topic/chapter-11)

[Post Link](https://x.com/PalladiumLabs/status/1947624774089556089)