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Free 30-min Web3 Consultation
Book Consultation
Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
Free 30-min Web3 Consultation
Book Consultation
Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
Free 30-min Web3 Consultation
Book Consultation
Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
LABS
Services

Collateral Health & Liquidation Risk Predictor

A predictive engine for lending protocols that scores collateral positions in real-time and forecasts liquidation risks under volatile market conditions.
Chainscore © 2026
overview
CORE SERVICE

Blockchain Development

End-to-end blockchain application development from concept to production.

We build secure, scalable blockchain applications on protocols like EVM, Solana, and Cosmos. Our full-cycle development delivers production-ready dApps in 6-12 weeks, with 99.9% uptime SLAs and comprehensive smart contract audits.

  • Smart Contract Development: Custom Solidity/Rust contracts with OpenZeppelin standards and formal verification.
  • Full-Stack dApps: Integrated frontends (React/Next.js) with secure wallet connectivity and indexers.
  • Protocol Integration: Seamless connections to DeFi primitives, oracles (Chainlink), and cross-chain bridges.
  • DevOps & Infrastructure: Automated deployment, node management, and monitoring with Grafana dashboards.

We handle the entire stack so your team can focus on product strategy and user growth, not infrastructure complexity.

key-features-cards
PREDICTIVE POWER

Core Engine Capabilities

Our engine delivers real-time, actionable intelligence on collateral health, empowering your protocol to manage risk proactively and optimize capital efficiency.

01

Real-Time Health Score Engine

Continuous monitoring of collateral positions across multiple protocols, calculating a dynamic Health Score based on LTV, volatility, and market depth. Enables pre-emptive action before positions become critical.

< 1 sec
Update Latency
24/7
Monitoring
02

Multi-Protocol Liquidation Predictor

Predicts liquidation risk across Aave, Compound, MakerDAO, and other major lending markets. Our models analyze price feeds, slippage, and mempool activity to forecast liquidation events with high accuracy.

95%+
Prediction Accuracy
10+
Protocols Supported
03

Custom Risk Parameter Framework

Tailor risk models to your protocol's specific assets and tolerance. Define custom oracle weightings, volatility windows, and safety margins. We implement and backtest your strategy.

2 weeks
Avg. Setup Time
Fully Custom
Parameters
04

Automated Alerting & Action Triggers

Set configurable thresholds for Health Scores and risk metrics. Receive instant notifications via Slack, Telegram, or webhook, and trigger automated responses like margin calls or partial liquidations.

< 30 sec
Alert Delivery
5+
Integration Channels
05

Historical Simulation & Backtesting

Stress-test your risk parameters against historical market crashes (e.g., March 2020, LUNA collapse). Validate model performance and optimize settings before going live.

5+ years
Market Data
On-Demand
Simulation Runs
06

Security-First Architecture

Built with institutional-grade security. All data pipelines and calculations are signed and verifiable. Undergoes regular third-party audits and follows OpenZeppelin best practices.

Audited
Codebase
Zero Trust
Data Access
benefits
MEASURABLE RESULTS

Business Outcomes for Your Lending Protocol

Our Collateral Health & Liquidation Risk Predictor delivers concrete operational and financial improvements, moving beyond monitoring to proactive risk management.

01

Reduce Bad Debt & Capital Losses

Predict collateral deterioration before it breaches thresholds, enabling proactive measures to protect your treasury and maintain protocol solvency.

Up to 40%
Bad Debt Reduction
Real-time
Risk Scoring
02

Optimize Liquidation Efficiency

Identify the most at-risk positions with precision, allowing your keepers to execute liquidations faster and more profitably, improving capital efficiency.

> 95%
Liquidation Success Rate
Sub-minute
Alert Latency
03

Enhance Risk Parameter Governance

Make data-driven decisions on Loan-to-Value (LTV) ratios, liquidation bonuses, and collateral factors based on predictive analytics, not just historical data.

Dynamic
Parameter Adjustment
Multi-chain
Data Aggregation
04

Improve User Trust & Retention

Provide transparent, real-time health scores for user positions. Empower borrowers to manage risk and avoid surprise liquidations, building long-term loyalty.

Proactive
User Alerts
24/7
Protocol Safety
05

Accelerate Protocol Growth & TVL

Demonstrate superior risk management to attract institutional liquidity providers and sophisticated borrowers by showcasing a safer, more resilient lending environment.

Competitive Edge
For Fundraising
Institutional
Grade Tooling
06

Future-Proof Against Market Volatility

Our models are stress-tested against historical black swan events and simulate future scenarios, ensuring your protocol remains robust during extreme market conditions.

Stress-Tested
Models
Scenario Analysis
Capability
Infrastructure Decision Matrix

Build vs. Buy: In-House vs. Chainscore's Predictor

A detailed comparison of the total cost, risk, and time commitment required to build a collateral health monitoring system in-house versus leveraging Chainscore's production-ready API.

FactorBuild In-HouseChainscore Predictor API

Time to Initial Deployment

6-12 months

2-4 weeks

Upfront Development Cost

$250K - $500K+

$0 (API usage)

Security & Audit Overhead

High (unaudited risk)

Low (pre-audited models)

Model Accuracy & Coverage

Limited to your team's data

Cross-protocol insights from $10B+ TVL

Ongoing Model Maintenance

Full-time data science team

Fully managed & updated weekly

Real-time Risk Alerts

Custom build required

Included (Webhook & WS)

Multi-Chain Support (10+ L1/L2)

Significant integration work

Native support included

SLA & Technical Support

Internal responsibility

99.9% Uptime SLA with 24/7 support

Total Cost of Ownership (Year 1)

$500K - $1M+

Starting at $50K

how-we-deliver
PREDICTABLE, SECURE, AND SCALABLE

Our Delivery & Integration Process

We deliver a production-ready risk predictor with a clear, phased approach designed for minimal disruption and maximum security. Our process ensures you gain actionable insights within weeks, not months.

01

1. Risk Assessment & Data Integration

We analyze your protocol's specific collateral types and on-chain activity. Our team integrates with your existing data sources (subgraphs, RPC nodes, oracles) to establish a baseline for prediction models.

2-3 days
Initial Setup
100%
Data Compatibility
02

2. Model Configuration & Backtesting

We configure our proprietary risk algorithms for your environment and perform historical backtesting against past market events. You receive a detailed report on predicted liquidation accuracy and false-positive rates.

> 95%
Historical Accuracy
1 week
Validation Cycle
03

3. Secure API Deployment

We deploy the predictor as a dedicated, secure API endpoint with enterprise-grade encryption and DDoS protection. Includes comprehensive documentation and client libraries for Solidity, Python, and JS.

99.9%
Uptime SLA
< 50ms
P95 Latency
04

4. Integration Support & Monitoring

Our engineers provide direct support to integrate risk signals into your smart contracts or dashboard. We establish real-time monitoring and alerting for model performance and system health.

24/7
Engineering Support
< 2 weeks
Full Deployment
security-compliance
CORE ENGINEERING

Smart Contract Development

Secure, gas-optimized smart contracts built for production by Web3 experts.

We architect and deploy custom smart contracts that form the secure, immutable backbone of your application. Our development process is built on OpenZeppelin standards and formal verification to mitigate risk and ensure reliability.

  • Full Lifecycle Development: From initial architecture and Solidity 0.8+ coding to deployment and on-chain monitoring.
  • Security-First: Rigorous audits, including unit testing, static analysis, and third-party review, are standard.
  • Gas Optimization: We write efficient code to reduce user transaction costs by up to 40% and improve UX.
  • Protocol Integration: Seamless integration with ERC-20, ERC-721, ERC-1155, and major DeFi primitives.

Deliver a production-ready, audited contract suite in as little as 4 weeks, accelerating your time-to-market with enterprise-grade security.

Collateral Health & Liquidation Risk Predictor

Frequently Asked Questions

Get clear answers on how our predictive risk analytics integrate with your DeFi protocol.

We deploy a dedicated, secure API endpoint that your smart contracts or off-chain keepers can query. Integration typically involves adding a few lines of code to your liquidation logic to call our oracle for real-time health scores. We provide SDKs for Solidity, Rust, and Python, and support direct integration with Chainlink or Pyth oracles for on-chain consumption.

ENQUIRY

Get In Touch
today.

Our experts will offer a free quote and a 30min call to discuss your project.

NDA Protected
24h Response
Directly to Engineering Team
10+
Protocols Shipped
$20M+
TVL Overall
NDA Protected Directly to Engineering Team
Collateral Risk Predictor | Chainscore Labs | ChainScore Guides