> For the complete documentation index, see [llms.txt](https://docs.peapods.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.peapods.finance/liquidations-lvf/visualizing-strategy-risk.md).
# Visualizing Strategy Risk
The following chart illustrates how different LVF configurations affect your liquidation buffer. It shows the **% decrease in pTKN required to reach liquidation**, based on different leverage profiles.
**Breakdown of Strategies:**
* 🟢 **Standard LTV (2.0x Leverage)**\
A typical LVF setup using only the user’s pTKN and borrowed paired asset. Provides a strong buffer (up to 64%) before liquidation.
* 🟡 **Looped LTV (2.33x Leverage)**\
A more aggressive strategy where the user borrows against their LP, uses the borrowed paired asset to buy more pTKN, and loops it into a new LVF position. This reduces the buffer to 53%.
* 🔵 **Withdrawn LTV (2.33x Leverage)**\
Similar borrowing profile to the looped strategy, but the paired asset is withdrawn and not recycled back into the system. This configuration is the most aggressive, with only a 36% buffer.
These variations illustrate how **strategy choice impacts liquidation risk**. Leverage is not inherently unsafe but understanding how it affects your liquidation buffer and managing your strategies within your risk tolerance is essential.
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