How are liquidation bots integrated in perp DEXs?
In a White Label Perpetual Exchange Platform, liquidation bots—known as "keepers"—act as the automated guardians of protocol solvency. These bots continuously monitor margin ratios to identify undercollateralized positions. When a threshold is breached, they instantly trigger smart contract functions to close the trade, preventing the accumulation of "bad debt" within the system.
During White Label Perpetual DEX Platform Development, we implement decentralized keeper networks with competitive incentive structures. By rewarding operators for timely execution, the platform ensures 24/7 risk management that is both censorship-resistant and resilient to market volatility.
Discover our keeper-based liquidation frameworks.
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