Meaning of overcollateralize | Babel Free

Definitions

To collateralize for too large an amount.

transitive

Examples

“Companies seeking to raise capital through bond offerings may often be required to overcollateralize the bonds by pledging assets that surpass the bond’s face value.”

“The New York Department of Financial Services (NYDFS) is expected to approve Ripple Labs’ RLUSD stablecoin — an overcollateralized dollar-pegged stablecoin — in the coming days, sources revealed to Fox Business.”

CEFR level