# Staked Value Coverage

**Overview**

This indicator highlights the total amount of stRSR being used as collateral in relation to the market cap of the RToken. The coverage ratio indicates the size of a default that can happen to the underlying collateral of the RToken without having the token be undercollateralized.

**How can I use it?**

<figure><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcwNSo24z75ARtIrA-FKwHunGGvzPWSrz9O5hyw1_iszCu2esZAneFpgluAPpdWVPeSthN8Kr2pZmhhkQsgs560r94xeIEUal380Df0bm-ZTSoegYNEFaAmqG2BnGyOHafIdBCjkzlf7hVwL0ei7e4KdyYj?key=viSS6p7Ffp5Mlmpz1hfp4g" alt=""><figcaption></figcaption></figure>

Stability is an important factor to review when looking at the coverage of an RToken. Large frequent fluctuations in the coverage can signal that RSR stakers believe that underlying collateral is risky and the risk to reward ratio is not sufficient or that there are not enough RSR stakers for how fast the collateral is growing. RToken holders can use this metric to determine if they deem the coverage to be high enough for any potential collateral default that might occur.


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