Euler Debt Token

Borrowers must maintain sufficient collateral in order to support their borrows. In particular, each account must maintain a "health score" above 1. The health score is computed by dividing the account's risk-adjusted collateral value by its risk-adjusted liability value. Since the collateral factor decreases the effective value of the collateral, and the borrow factor increases the effective value of the liability, when the health score is 1, then the account is still technically solvent (assets are worth more than liability), but the account is said to be in "violation". When an account is in violation, the liquidate() method of the Liquidation module can be invoked by anyone (except by the violating account itself, to avoid aliasing bugs). The account invoking this method is called the "liquidator".

SwapHub is a generic swapping interface where users can select their desired swapping handler without any changes needed to Euler contracts. When a user invokes a swap, the input amount (or maximum input) is transferred to the handler contract. The handler contract should then perform the swap by whatever means it chooses, then transfer back any remaining input and all the output. SwapHub will ensure that the amounts returned satisfy the user's slippage settings and process the corresponding withdrawal and deposit on behalf of the user.

This module lets a particular privileged address update market configuration parameters, such as the TWAP intervals, borrow and collateral factors, and interest rate models. Eventually this logic will be enhanced to support EUL-token driven governance.