AI can help rank anomalies, but it cannot replace transparent rules and deterministic guardrails. Implementation notes: treat the risk pipeline like software. Define inputs, version rules, and measure drift. Ask how stale data is detected and what the fallback is. A single broken feed should not move your margin state on its own. Design for failure: stale feeds, sudden volatility, and latency spikes should trigger predictable safe modes. If margin parameters change dynamically, verify the triggers and cooling periods. Rapid parameter oscillation is a hidden risk. Track basis, funding, and realized volatility together. The combination reveals crowding more reliably than any single metric. Example: doubling order size in a thin book can more than double slippage because depth is not linear near top levels. Treat cross margin as a correlated portfolio, not a set of independent positions. Correlations tend to converge in selloffs. When in doubt, reduce complexity and size, and prioritize venues that publish definitions and failure-mode behavior. Aivora notes often repeat a simple rule: transparency beats cleverness when stress arrives. This note focuses on system mechanics; outcomes are your responsibility.
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.