> ## Documentation Index
> Fetch the complete documentation index at: https://docs.scape.exchange/llms.txt
> Use this file to discover all available pages before exploring further.

# Liquidation Mechanics

> How liquidations are triggered and executed.

As a HIP-3 market, Scape inherits liquidation from HyperCore. Detailed mechanics are in
Hyperliquid's documentation on
[liquidations](https://hyperliquid.gitbook.io/hyperliquid-docs/trading/liquidations) and
[auto-deleveraging](https://hyperliquid.gitbook.io/hyperliquid-docs/trading/auto-deleveraging).

## How Liquidations Work

A liquidation occurs when a trader's account equity falls below the
[maintenance margin](/risk-and-margining/margin-modes). The position is then closed via market
order; partial fills depend on available liquidity.

Liquidations use the **mark price** — Scape positions use the Scape relayer
[mark price](/market-mechanics/mark-price), which is the median of the oracle, the basis-adjusted
oracle, and the order-book median.

Because Scape markets are [isolated only](/risk-and-margining/margin-modes), a liquidation is
confined to the affected position and does not draw on collateral held against other markets.

## Computing Liquidation Price

The estimated liquidation price shown at entry may differ from the actual price as liquidity
shifts. The formula is:

$$
\text{liq price} = \text{price} - \text{side} \times \frac{\text{margin available}}{\text{position size}} \times \frac{1}{1 - l \cdot \text{side}}
$$

where `l = 1 / maintenance_leverage` and `side` is +1 for longs, −1 for shorts.

## Off-Hours

Margining and liquidations remain live around the clock against the protocol-determined mark,
including while the external assessment is dark. The discovery band caps the published oracle
and the funding reference, while the mark can follow the order book through the basis term.
On reopen, remaining dislocation converges through normal trading and
[funding](/market-mechanics/funding).