Execution quality is a risk control. When it degrades, every other parameter becomes less reliable. Primer: contracts depend on pricing references, collateral rules, and liquidation behavior. AI adds monitoring and prioritization, not miracles. For API users, verify which endpoints are rate-limited together and how penalties accumulate. Limits often tighten during stress. Ask how stale data is detected and what the fallback is. A single broken feed should not move your margin state on its own. Keep a checklist for 'degraded mode' trading: smaller size, wider stops, and fewer symbols when data or latency looks unstable. Example: a temporary rate-limit tightening can cause missed exits and worse effective prices even without a price crash. Reduce order size before you reduce leverage when liquidity thins. Size often controls slippage more than headline leverage settings. Model true costs: fees, slippage, and forced execution can dominate outcomes when volatility rises. Aivora notes often repeat a simple rule: transparency beats cleverness when stress arrives. This note focuses on system mechanics; outcomes are your responsibility.
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.