Our battle-tested liquidation engine delivers the speed, reliability, and configurability required to protect your lending protocol's solvency and maximize capital efficiency.
LABS
Services
Liquidation Engine Development for Lending Protocols
We build secure, gas-optimized liquidation engines that protect your lending protocol from bad debt. Our systems feature real-time health monitoring, multi-asset support, and MEV-resistant auction mechanisms.
Chainscore © 2026
key-features
PRODUCTION-READY LIQUIDATION
Core Engine Capabilities
01
Multi-Asset & Cross-Margin Support
Engineered to handle complex collateral baskets and cross-margin positions. We integrate price feeds for any asset (spot, LP tokens, yield-bearing) and calculate health factors across entire portfolios, not just single assets.
Any Asset
Collateral Type
Portfolio-Wide
Risk Calculation
02
Gas-Optimized Auction Mechanisms
Implement Dutch, English, or sealed-bid auctions with sub-200k gas overhead. Our smart contracts minimize on-chain footprint while ensuring fair market price discovery and maximizing recovery rates for bad debt.
< 200k Gas
Auction Overhead
95%+
Typical Recovery Rate
03
Real-Time Health Monitoring & Alerts
Proactive monitoring system that tracks position health in real-time, triggering pre-liquidation alerts and enabling keeper coordination to ensure timely execution before positions become underwater.
< 1 sec
Health Check Latency
Webhook/WS
Alert Channels
05
Configurable Risk Parameters
Granular control over liquidation thresholds, close factors, incentive bonuses, and auction durations. Adjust parameters via governance or admin functions without requiring a full engine upgrade.
On-Chain
Parameter Updates
Role-Based
Access Control
benefits
DELIVERING TANGIBLE RESULTS
Business Outcomes
Our liquidation engine development service is engineered for measurable impact, delivering robust infrastructure that directly enhances your protocol's security, efficiency, and profitability.
01
Capital Efficiency & Risk Reduction
Automated, real-time liquidation of undercollateralized positions to protect your lending pool. Our engines are designed to minimize bad debt and maximize capital recovery, ensuring protocol solvency.
> 99%
Bad Debt Prevention
< 100ms
Liquidation Latency
02
Gas-Optimized Execution
Smart contracts and keeper bots built with gas efficiency as a core principle. We implement techniques like batch processing and MEV protection to reduce operational costs for you and your users.
30-50%
Gas Cost Reduction
EIP-1559
Fee Optimization
03
Scalable Keeper Network
A resilient, decentralized network of liquidation bots designed for high throughput and 24/7 uptime. Our infrastructure scales automatically with your protocol's TVL and transaction volume.
99.9%
Uptime SLA
Multi-Chain
Deployment Ready
04
Regulatory & Audit Readiness
Development follows industry security standards, with comprehensive documentation and test coverage exceeding 95%. Our codebase is structured for seamless integration with third-party auditors like CertiK or OpenZeppelin.
> 95%
Test Coverage
Formal Verification
Optional
05
Customizable Logic & Oracles
Tailor liquidation parameters, health factor thresholds, and auction mechanisms to your specific risk model. Seamlessly integrate with Chainlink, Pyth, or custom price feeds.
Flexible
Auction Models
Multi-Oracle
Support
06
Faster Time-to-Market
Leverage our battle-tested, modular codebase and deployment expertise. We deliver production-ready liquidation systems, allowing you to launch or upgrade your lending protocol in weeks, not months.
2-4 weeks
Deployment Time
Full Handover
Source Code
Tiered Development & Support
Liquidation Engine Technical Specifications
Compare our structured development packages for custom liquidation engines, from core contract delivery to fully managed services.
| Feature | Starter | Professional | Enterprise |
|---|---|---|---|
Custom Solidity Smart Contracts | |||
Gas-Optimized Auction Logic | |||
Multi-Asset & Cross-Margin Support | |||
Formal Security Audit (2 Firms) | 1 Audit | 2 Audits | 3 Audits + Bug Bounty |
On-Chain Monitoring & Alerting | Basic | Advanced | Real-time w/ AI |
Deployment & Integration Support | |||
Post-Launch Maintenance SLA | Business Hours | 24/7 with 4h Response | |
Performance Optimization Reviews | Quarterly | Monthly | |
Integration with Oracles (Chainlink, Pyth) | 1 Oracle | Multi-Oracle w/ Fallback | Custom Oracle Network |
Estimated Delivery Timeline | 6-8 weeks | 8-12 weeks | 12-16 weeks |
Starting Price | $75,000 | $180,000 | Custom Quote |
how-we-deliver
PREDICTABLE DELIVERY
Our Development Process
A structured, security-first approach to building robust liquidation engines that protect your protocol's solvency and scale with your TVL.
01
Architecture & Risk Modeling
We design the liquidation engine's core logic based on your specific collateral types, oracle feeds, and risk parameters. This phase defines the health factor thresholds, auction mechanisms (English, Dutch, fixed-price), and gas-efficient execution paths.
2-3 days
Design Sprint
5+ Models
Auction Types
02
Smart Contract Development
Implementation in Solidity 0.8+ using OpenZeppelin libraries and gas-optimized patterns. We build the core liquidation logic, keeper incentive mechanisms, and fail-safes to handle network congestion and oracle failures.
100% Coverage
Unit Tests
OpenZeppelin
Security Base
03
Security Audit & Formal Verification
Every line of code undergoes internal review followed by an external audit from a top-tier firm. We use static analysis tools and, for critical functions, formal verification to mathematically prove correctness.
2+ Audits
External Reviews
0 Critical
Guarantee
04
Keeper Network Integration
We integrate with decentralized keeper networks (e.g., Chainlink Automation, Gelato) or help you set up a private keeper system. This ensures reliable, permissionless execution of liquidation transactions under volatile market conditions.
< 30 sec
Avg. Response
99.9% SLA
Execution Uptime
05
Testnet Deployment & Simulation
Deploy to a forked mainnet environment and run stress tests with historical price crash data. We simulate black swan events to validate the engine's ability to protect the protocol's solvency under extreme stress.
10+ Scenarios
Stress Tests
Forked Mainnet
Test Environment
06
Mainnet Launch & Monitoring
We manage the production deployment and provide real-time monitoring dashboards for liquidation events, keeper performance, and system health. Includes 24/7 support during the initial stabilization period.
< 1 week
Stabilization
24/7
Launch Support
Structured Development Path
Project Timeline & Deliverables
A clear roadmap for delivering a secure, high-performance liquidation engine tailored to your protocol's risk parameters.
| Deliverable / Milestone | Starter (4-6 Weeks) | Professional (6-8 Weeks) | Enterprise (8-12 Weeks) |
|---|---|---|---|
Initial Architecture & Risk Model Review | |||
Custom Smart Contract Development | Core Engine | Core Engine + Oracles | Core Engine + Oracles + Keeper Network |
Comprehensive Security Audit | 1 External Auditor | 2 External Auditors | 2 Auditors + Internal Review |
Testnet Deployment & Simulation | Basic Scenario Testing | Full Historical Backtesting | Custom Stress Testing Suite |
Mainnet Deployment Support | Guidance Only | Hands-on Support | Managed Deployment & Verification |
Post-Launch Monitoring Setup | Basic Alerts | Dashboard + Priority Alerts | 24/7 Dedicated Monitoring |
Response Time SLA | Best Effort | 12 Business Hours | 4 Hours Guaranteed |
Ongoing Maintenance & Updates | Not Included | Optional Retainer | Included (12 Months) |
Estimated Investment | $45K - $75K | $90K - $150K | Custom Quote |
tech-stack
BUILT FOR SCALE AND SECURITY
Technology & Protocols
Our liquidation engine development leverages battle-tested protocols and proprietary technology to deliver capital-efficient, secure, and reliable protection for your lending protocol.
01
Custom Solidity & Vyper Development
We build high-performance liquidation logic in Solidity 0.8+ or Vyper, utilizing OpenZeppelin libraries and gas-optimized patterns to minimize execution costs and maximize keeper profitability.
> 50%
Gas Reduction
OpenZeppelin
Security Standard
02
Multi-Chain & L2 Deployment
Deploy your engine on Ethereum, Arbitrum, Optimism, Base, or Polygon. We ensure seamless integration with native bridging and cross-chain messaging (CCIP, LayerZero) for unified risk management.
5+
Networks Supported
< 2 sec
L2 Finality
03
Oracle Integration & Price Feeds
Integrate with Chainlink, Pyth Network, or custom TWAP oracles. We implement robust circuit breakers, heartbeat checks, and multi-source validation to prevent price manipulation attacks.
99.9%
Feed Uptime
Sub-second
Update Speed
04
Keeper Network & Incentive Design
Design and integrate with Gelato, Chainlink Automation, or a custom keeper network. We create optimal incentive mechanisms to ensure timely liquidations under volatile market conditions.
< 10 blocks
Response SLA
Dynamic
Bonus Design
05
Formal Verification & Audits
Every engine undergoes rigorous testing, including formal verification with Certora and audits by leading firms. We provide a verifiable security posture for your users and insurers.
Certora
Verification
Zero Critical
Audit Target
06
Real-time Risk Dashboard
Get a proprietary dashboard for monitoring collateral health, liquidation queues, keeper performance, and system solvency in real-time, enabling proactive risk management.
Real-time
Health Metrics
Custom Alerts
Proactive Monitoring
Liquidation Engine Development
Frequently Asked Questions
Get clear answers on our process, timeline, security, and support for building robust liquidation engines for lending protocols.
A standard, production-ready liquidation engine for a lending protocol typically takes 3-5 weeks from kickoff to mainnet deployment. This includes design, development, integration with your existing smart contracts, internal testing, and a security audit. Complex features like multi-asset support or MEV-resistant auctions can extend the timeline. We provide a detailed project plan within the first week.
ENQUIRY
Get In Touch
today.
Our experts will offer a free quote and a 30min call to discuss your project.
NDA Protected
Confidentiality24h Response
Time to ValueDirectly to Engineering Team
No Sales Fluff10+
Protocols Shipped
$20M+
TVL Overall