Perpetual Engine Series Part 1: The Liquidation Logic
rust
dev.to
When building a high-leverage trading engine, the most critical component isn't just speed—it’s the Risk Engine. If your liquidation logic fails, the exchange carries the debt, and the system becomes insolvent. In this first post of my series, I’m diving deep into how I built the liquidation safety net for my Rust-based engine. 1. What is Liquidation? Liquidation is the automatic closure of a position when a trader's collateral (Margin) is exhausted. In perpetual trading, lever