It’s not that DeFi protocols don’t know liquidations are broken.
It’s that fixing them means rewriting the whole engine.

Every trader knows the drill.

Vol spikes.

Collateral ratios shift.

The liquidation cascade begins.

Except… you were hedged.

Your exposure was neutral.

Your portfolio? Still solid.

But the protocol doesn’t care.

It saw numbers move and hit the eject button — wiping out capital that never should’ve been at risk.

Welcome to DeFi’s most predictable failure.

Why Liquidations Break Everything

Most liquidation engines are:

• Pre-set
• Hard-coded
• Blind to portfolio context
• Triggered on outdated data
• Executed without strategic unwind logic

And when one liquidation hits?

It drags correlated books with it.

Unhedged risk floods the system.

Markets gap. Traders flee.

What Jetstream Does Instead

Jetstream treats liquidations like what they are — a last resort, not a default state.

We:

• Continuously evaluate full portfolio risk
• Apply conditional logic to triggers
• Assess offsetting positions
• Give capital a chance to self-correct
• Reduce cascading effects across books

That means smart books don’t get nuked by blunt-force rules.

It’s not liquidation avoidance.

It’s liquidation logic.

Real-Time Margin, Deterministic Rules

Jetstream doesn’t wait for price oracles to catch up.

It:

• Clears margin continuously
• Unwinds positions in order
• Recognizes net exposure
• Delays force-unwinds when it makes sense

This isn’t mercy.

It’s precision.

And it saves capital.

Bottom Line

If your liquidation engine fires without understanding your book, it’s not protecting the protocol — it’s destroying trust.

Jetstream clears liquidations with nuance, structure, and logic that reflects real risk.

Because smart traders don’t fear risk.

They fear platforms that can’t see it clearly.

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