Exact eligibility without a public threshold.

• The backend evaluates private equity against the current on-chain oracle, funding, and versioned risk model.
• A compact proof shows the target is eligible and binds the complete liquidation effect without publishing its prior live threshold.
• Execution takes liquidity from the continuous public book and updates the private successor state.

Timely liquidation depends on at least one healthy backend replica. Heartbeats, automatic new-risk halts, conservative leverage, durable encrypted state, and dedicated liquidation capacity bound operational outages.

Liquidation first takes available liquidity from the continuous public book. Partial liquidation restores margin when possible; bounded insurance and backstop liquidity absorb residual execution risk when the book cannot complete the transition.