The Best Trader on Your DEX Isn’t a Trader — It’s the Liquidation Bot

If your edge depends on being faster than a bot, you’re not trading — you’re gambling.

In most perp DEXs, there’s one participant who wins more consistently than anyone else.

They don’t hedge.

They don’t scale positions.

They don’t post threads.

They just wait.

Then they liquidate an overleveraged trader, scoop the spread, and vanish.

Welcome to liquidation-first markets — where bots eat structure for breakfast.

How Liquidation Systems Work on Most DEXs

The cycle is predictable:

1. A trader sizes up with 20x leverage
2. Price moves 2.5% against them
3. Margin is breached
4. A bot detects it, triggers liquidation
5. The bot profits
6. The trader gets wiped
7. Protocol collects fees
8. Repeat

The engine deciding this outcome?

Usually hardcoded, off-chain, and buried under vague “risk parameters.”

It’s not risk management.

It’s position roulette — and bots hold the house edge.

What’s Actually Broken

Liquidation bots aren’t protecting your market.

They’re extracting from it.

And most DEXs support them with:

• Priority execution privileges
• Deep discounts or rebates
• Hidden liquidation thresholds
• Opaque margin logic labeled as “decentralized risk mitigation”

The result?

Speed-based extraction disguised as market structure.

You might win — until they move faster.

And when they do, your loss is their yield.

How Jetstream Fixes It

Jetstream clears risk the way real markets should:

• Transparent liquidation ratios — no hidden triggers
• On-chain margin calculation — updated in real time
• No priority access — execution is neutral
• Offset logic — lowers forced liquidation risk
• Smart clearing — fewer unfair exits

If you manage your portfolio intelligently,

Jetstream reflects it in your margin.

No backroom deals.

No bot-driven traps.

Just clean, capital-efficient clearing.

Liquidation Logic Should Be a System — Not a Weapon

You shouldn’t need to reverse-engineer a DEX’s liquidation math to stay safe.

Jetstream makes margin and risk logic:

• Transparent
• Predictable
• Aligned with how professionals think and trade

Because if your biggest counterparty risk is a liquidation bot,

you’re not on a trading venue — you’re in a trap.

Trade Where Risk Is Cleared — Not Gamed

→ jetstream.trade

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