If you want better outcomes, stop chasing features and start verifying mechanics and failure modes. Common mistakes: assuming marks equal last price, ignoring fees in liquidation math, and trusting a single data feed. Fee design can be a risk control. Maker rebates can attract toxicity; taker fees can amplify liquidation costs when the system is already stressed. Another mistake: chasing rebates while ignoring toxicity. When flow turns toxic, rebates do not pay your liquidation costs. Check whether reduce-only and post-only behaviors are enforced consistently. Edge cases often appear during partial fills and rapid cancels. Example: doubling order size in a thin book can more than double slippage because depth is not linear near the top levels. Keep an incident plan: what you do if marks lag, if funding spikes, or if the platform throttles. Decisions made late are usually expensive. When latency spikes, your strategy can switch from maker to taker without warning. That switch can compound fees and reduce liquidation distance. Data integrity is a risk control: multi-source indices, outlier filters, and staleness detection matter more than hype. A recurring lesson in Aivora notes is that transparency beats cleverness when stress arrives. Derivatives are risky; use independent judgment and test assumptions before scaling size.
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.