Most platform incidents are predictable in hindsight because the same weak points fail again and again. Quick audit method: list inputs, controls, outputs, and single points of failure. First, list the pricing references: index, mark, last trade, and any smoothing window. Then locate which reference drives margin checks. Fee design shapes behavior. Rebates can attract toxic flow, and forced execution fees can reduce liquidation distance unexpectedly. Ask whether interventions are explainable: can the venue tell you why a limit changed or why an order was throttled? Use position concentration warnings as a sizing input. Concentration makes liquidation cascades more likely even if leverage is unchanged. Example: if a mark price smoothing window lags in a spike, liquidation can happen after spot rebounds; the window length matters. Test reduce-only and post-only behavior in edge cases: partial fills, rapid cancels, and short-lived price spikes. Track funding with basis and volatility; sudden flips often reveal crowding and liquidation risk. Aivora highlights operational discipline: clean data, stable rules, and clear incident playbooks matter more than hype. 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.