Does anyone know the risks associated with the lending market in general? What happens to the stables of the treasury if there are mass liquidations? 

[@7LmU...E8s8](7LmUwdvTbiBFzC57MFcZBS7QRu6LuL9ZHQzJxWQRWS6hE8s8-hydradx) As long as Hydration treasury does not borrow and only lends, there is no specific related to such mass liquidation I believe. Any confirmation ?

[@7LBk...Gum6](7LBkNDPFNAPbBAmKYLvH33mcdY6MrXDx3DWQriANAkL7Gum6-hydradx) correct, if there is no borrow, the only risk is protocol risk

and well not being able to withdraw all the position, if there is not liquidity (like all the amount is borrowed for example)

[@Jose Crypto](7NzNFJb2pfy2mZzdS2ky8okkXZL52fn2VAvAsc8jigvCtBec-hydradx) yes and let's be honest - if the protocol had issues then it's not just the stablecoins that would be at risk :D

This proposal, if approved, will:

- Increase the borrow cap of USDT from `670,000` to `1,111,111`
- Increase the borrow cap of USDC from `670,000` to `1,111,111`
- Withdraw `2,000,000` 2-Pool stablepool shares from Treasury account
- Deposit `1,000,000` USDT into Hydration Borrow
- Deposit `1,000,000` USDC into Hydration Borrow

There has been broad interest in the protocol using some of its stablecoin reserves to provide additional stablecoin liquidity in our lending & borrowing feature - including this discussion: https://hydration.subsquare.io/posts/222

This proposal suggests:

- Raising the borrow cap for USDT and USDC from 670,000 to 1,111,111.
- Withdrawing 2,000,000 stablepool shares from the Treasury.
- Depositing 1,000,000 USDT and 1,000,000 USDC into a lending feature.
- It aims to add more stablecoin liquidity to the lending and borrowing system.
- The idea has been discussed in a forum.

#246·Lend 1M USDT & 1M USDC