5.5.7.1. Penalty Fee

The participant who has not received savings payment in previous periods, therefore has not deposited collateral and has not fulfilled his obligation to pay in a certain period, that is, the participant who will be liquidated will not be able to get back the participation fee and will be able to recover his previous payments by deducting the determined penalty fee from the total amount of their previous payments.

The penalty fee will be determined according to the interest rate to be paid in return for the debt that must be taken from the mainstream DeFi platforms to meet the remaining obligations of the user, in case Nexspecto replaces the user who does not fulfill their obligations.