some thoughts on weekend liquidation hunting... - 24/7 RWA perp markets are very cool in theory! but the downsides of their illiquidity over the weekends - continuous trading without a real, liquid spot price - outweigh the benefits. these drawbacks are greater the larger you are as a trader. - imagine you have a $20m nasdaq long open, that you intend to keep open for the next couple of weeks. it's friday afternoon. if you keep it open, you face a few risks: 1. someone else might size into a massive position, skewing the books and blowing out the funding rate. you may wind up with an unexepectedly big hit to your position's PnL. 2. worse, due to thin book liquidity, you may get liquidation hunted. many such cases. - what do you do? you have a couple of options: 1. add tons of margin to your position to reduce your leverage 2. close your position and reopen it monday 3. don't do anything. pray - my view here is that the underlying markets are going 24/7 sooner than everyone realizes (see monday's NYSE announcement), and that the downsides of offering 24/7 perp trading on assets when they don't have a liquid, open spot market outweigh the purported benefits. once there's a liquid spot market over the weekends ostium will be 24/7. - we think that from a user perspective, it's far better to simply have the perp market close - so you don't need to worry about rolling additional margin onto your position or closing it out and re-opening it 48hrs later - than to spend all weekend babysitting your position when not much organic price action is happening anyways. - the even more beautiful thing: even during market hours, you can't get liquidation hunted on ostium because liqs are always triggered by oracle mid-price. that mid-price is derived from underlying market sources, which for all the assets we have listed would require tens or ~hundreds of millions to manipulate (and affect a lot more than just ostium prices). don't get liquidation hunted!