> For the complete documentation index, see [llms.txt](https://fx100.gitbook.io/fx100-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://fx100.gitbook.io/fx100-docs/start-here/liquidation-protection.md).

# Liquidation protection

Every position opens with 15 minutes during which it cannot be liquidated.

Every new position on FX100 automatically receives a **15-minute window during which it cannot be liquidated**, even if the oracle price crosses your liquidation price. The window is free, requires no opt-in, and applies to every market.

## The rule

For 15 minutes from the moment a position is opened:

* The position will not be liquidated, whatever the oracle price does.
* Your liquidation price still exists and is still displayed. Price can cross it without consequence during the window.
* If price returns above the liquidation threshold before the window ends, the position continues to run normally.
* If the position is still below the threshold when the window ends, standard liquidation applies.

The countdown is shown in the position panel alongside the estimated liquidation price.

## What it is, mechanically

A timer. For 15 minutes, liquidation cannot execute against the position — that is the whole mechanism.

Nothing is being managed on your behalf during the window. Your exposure is not adjusted, your leverage is not reduced, and no part of the loss is absorbed. The protocol simply does not liquidate you, and what you do with that time is up to you.

{% hint style="warning" %}
Liquidation protection is a **time buffer, not a guarantee**. It reduces the chance of being closed by market noise. It does not make a position unliquidatable, and it does not reduce your losses.
{% endhint %}

## What it protects against

Short, sharp moves. Wicks, thin-liquidity gaps, and momentary oracle dislocations close positions on conventional venues that would have been solvent a minute later. Fifteen minutes is long enough to absorb that class of event.

It does not protect against a sustained move against you. If price goes through your liquidation level and stays there, you are liquidated when the window expires.

## Using the window

Crossing your liquidation price during the window is a signal to act, not a reason to relax. You have two ways to bring the position back above the threshold:

* **Add margin.** Raises the collateral backing the position and moves the liquidation price further from current price.
* **Reduce leverage.** Cuts notional size, which has the same effect.

If your position has already crossed below the liquidation threshold during the window, the adjustment rules are stricter:

* **Adding margin or topping up must clear the threshold.** A top-up has to bring the position back to at least the liquidation threshold. An adjustment that would leave it still below is not accepted — you cannot partially prop up an underwater position and leave it underwater.
* **Reducing means closing in full.** While below the threshold in the protection window, you cannot trim the position — the only reduce option is to close it completely.

During the protection window, the interface prompts you to add collateral whenever an adjustment would still leave the position below the threshold.

If you do nothing and price does not recover, the position is liquidated at the end of the window under the [standard liquidation process](/fx100-docs/how-the-system-works/liquidation.md).

## The window does not reset

The 15 minutes are timed from when the position is **first opened**. Adding to an existing position does not reset or extend the window. If you opened ten minutes ago and increase your size now, you have five minutes of protection remaining on the whole position, not fifteen.

To get a fresh protection window you must close the position and open a new one.

## Protected positions cannot be auto-deleveraged

While a position is inside its 15-minute protection window, it is also exempt from [auto-deleveraging](/fx100-docs/how-the-system-works/adl.md). Even if the market hits the conditions that trigger ADL, a protected position will not be selected and closed. Your protection window covers both liquidation and ADL — for those 15 minutes the position cannot be force-closed by the system for any reason.

## After the window

Normal liquidation rules resume. The position becomes liquidatable when its remaining collateral falls below the maintenance requirement, and is force-closed against the vault at the oracle price. Because the unwind happens against the vault rather than into a thin book, the close is insulated from the short-term liquidity conditions that caused the move.

Full mechanics, including the liquidation price formula: [liquidation](/fx100-docs/how-the-system-works/liquidation.md).

## Extended protection

A planned upgrade will let traders pay a fee to extend protection beyond the initial window — functionally, insurance on the position. This is not available on testnet and has no confirmed launch date.
