Liquidation Criteria

A user's position is subject to liquidation if their Account Value drops below the RequiredMaintenanceMargin. This process is vigilant, with Keepers tasked to continuously monitor positions against maintenance margin requirements. They utilize an eventTrigger mechanism to initiate liquidations, enhancing market stability.

isLiquidatable={requiredMM+liquidationFeeUsdā‰„marginBalanceUsdisLiquidatable = \begin{cases} \text{requiredMM} + \text{liquidationFeeUsd} \geq \text{marginBalanceUsd} \\ \end{cases}

Note: requiredMM stands for the requiredMaintenanceMargin

Liquidation Mechanics

The liquidation process leverages Chainlink oracle data feeds for accurate price referencing, ensuring liquidations are executed at the oracle's quoted price. This task is facilitated by LiquidationBranch.sol, which adheres to predetermined upper and lower price boundaries during the liquidation phase.

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