Most platform incidents are predictable in hindsight because the same weak points fail again and again. Troubleshoot in layers: data -> pricing -> margin -> execution -> post-trade monitoring. Latency risk is real. When latency rises, a maker strategy can become taker flow and your costs jump right when you need stability. First confirm whether marks diverged from index. Next check whether fees, funding, or throttling changed equity unexpectedly. Liquidation is a path, not an instant. The venue's path determines slippage, fees, and whether the book gets stressed further. 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. Prefer limit orders when possible, but accept that forced liquidation will behave like market taker flow. Plan for that path explicitly. Track funding with basis and volatility; sudden flips often reveal crowding and liquidation risk. Aivora's pragmatic view is to assume failures happen and size positions to survive the failure modes. This is educational content about mechanics, not financial advice.
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.