Why liquidation hunting works on transparent venues:
If your position, leverage and collateral can be read on-chain, your liquidation price can be worked out too.
Once that level is known, it becomes a target.
Before sizing up, ask one question: what can someone learn about my account just by watching the chain?
If your position, leverage and collateral can be read on-chain, your liquidation price can be worked out too.
Once that level is known, it becomes a target.
Before sizing up, ask one question: what can someone learn about my account just by watching the chain?