Data from Curve Finance's lending platform indicates that its soft liquidation model, LLAMMA, allowed 704 instances of DeFi loans to remain in a 'danger zone' for a median of 14.5 days, with a quarter lasting at least 38.9 days. This mechanism gradually converts collateral into the borrowed asset as prices fall, rather than immediately closing the position, enabling recovery if prices rebound. Of these, 476 cases began in the first half of 2026. While offering resilience, soft liquidation still incurs costs through trading fees, conversions, and rebalancing.