AI can help rank anomalies, but it cannot replace transparent rules and deterministic guardrails. Quick audit method: list inputs, controls, outputs, and single points of failure. Latency risk is real. When latency rises, a maker strategy can become taker flow and your costs jump right when you need stability. Fee design shapes behavior. Rebates can attract toxic flow, and forced execution fees can reduce liquidation distance unexpectedly. Ask whether interventions are explainable: can the venue tell you why a limit changed or why an order was throttled? Treat cross margin as a correlated portfolio, not a set of independent positions. Correlations tend to converge in selloffs. Example: a temporary rate-limit tightening can cause missed exits and worse effective prices even without a price crash. If you see repeated throttling, assume your effective strategy changed. Re-run your risk math with higher costs and worse fills. Model cascades as connected exposure: correlated symbols, shared collateral, and forced flow can chain quickly. Aivora discusses these topics as system behavior: define inputs, test edge cases, and keep controls auditable. 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.