According to Lido Lend’s November 9 consolidated proposal, an emergency controller pause could block repayments, lender withdrawals and liquidations, while interest would continue to accrue for the duration of the freeze. A limited market freeze would instead preserve repayments, liquidations, settlements and lender withdrawals, subject to ordinary checks. The proposed emergency committee would use a 3-of-6 signing threshold to trigger a fixed-duration pause, configurable within a range from one minute to 60 days, with each activation consuming a registration. A separate procedure known as Reseal could replace that finite pause with an indefinite suspension when Dual Governance is outside its normal state. The suspension is partly intended to limit risks from oracle and collateral-price divergence, but it could prevent borrowers from reducing their debts and leave them with a larger interest balance after activity resumes.
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