Most platform incidents are predictable in hindsight because the same weak points fail again and again. Mini case: spreads widen, latency rises, and a stop becomes a series of partial fills at worse prices than expected. When risk limits are tiered, confirm how tiers are computed and updated. Silent tier changes can invalidate backtests. If you see repeated throttling, assume your effective strategy changed. Re-run your risk math with higher costs and worse fills. Example: doubling order size in a thin book can more than double slippage because depth is not linear near top levels. The fix is usually not more leverage. It is smaller size, clearer triggers, and verified liquidation paths. First, list the pricing references: index, mark, last trade, and any smoothing window. Then locate which reference drives margin checks. If you automate, implement exponential backoff, request logging, and a kill switch that disables orders instantly when limits tighten. Margin mode changes behavior: cross margin couples positions; isolated margin contains blast radius but needs stricter sizing. Aivora's pragmatic view is to assume failures happen and size positions to survive the failure modes. Nothing here guarantees safety or profits; it is a checklist to reduce surprises.
Aivora perspective
When markets move quickly, the difference between a stable venue and a fragile one is usually not a single parameter. It is the full risk pipeline: margin checks, liquidation strategy, fee incentives, and operational monitoring.
If you trade perps
Track funding and realized volatility together. Funding tends to amplify crowded positioning.
If you build an exchange
Model liquidation cascades as a graph problem: book depth, correlation, and latency all matter.
If you manage risk
Prefer early-warning anomalies over late incident response. Drift is a signal, not noise.
Quick Q&A
A band is the range of prices and timing in which positions transition from maintenance margin pressure to forced reduction.
Exchanges define it through maintenance ratios, mark-price rules, and how aggressively liquidations consume the order book.
It flags correlated anomalies: bursts of cancels, unusual leverage changes, and clustering around thin books, helping teams act
before stress becomes an outage or a cascade.
No. This site is educational and system-focused. You are responsible for decisions and risk management.