Scan to Download Gate App
qrCode
More Download Options
Don't remind me again today

Hyperliquid enables cross Margin auto deleveraging ( ADL ) liquidation system

robot
Abstract generation in progress

On November 28, Hyperliquid enabled cross-margin auto-deleveraging (ADL) liquidation system across all its major Perptual Futures markets, introducing deeper Risk Management amid rising open contract volumes and financing rate fluctuations. After a series of internal stress tests and simulations conducted over the past month, ADL is now officially live to ensure orderly market operations during periods of extreme volatility, particularly when liquidity tightens or large Holdings approach liquidation. When the margin cannot fully absorb the losses of liquidated positions, ADL (Automatic Liquidation Mechanism) acts as a backup liquidation method. In such cases, positions of highly leveraged traders with significant unrealized gains may be partially or fully liquidated to cover funding gaps. Hyperliquid emphasizes that ADL will only be triggered in exceptional circumstances, designed to maintain market integrity by preventing cascading defaults that could disrupt the entire ecosystem.

View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)