the process
high level overview of vault liquidation processes.
- 1.when a vault falls below it's c-Ratio liquidation trigger, liquidation begins.
- 2.sufficient vault collateral is sold (largest position to smallest holdings) to repay enough fxToken debt and return the c-Ratio to its required minimum plus a 10% buffer.
- 3.a liquidation fee charged is to the vault being liquidated. this fee is disbursed to protocol and the relevant fxKeeper pool that funded the liquidation. *any accrued $FOREX rewards for that vault are forfeited; transferred to the fxKeeper pool and protocol.
Last modified 1yr ago