This guide covers integrating RUJI Liquidations (bidding on at-risk collateral) into your application, and guidance to build a Liquidation Solver.
RUJI Liquidations is a public marketplace for acquiring collateral from at-risk borrowing positions. Unlike traditional DeFi liquidations that favor MEV bots, all liquidated collateral on Rujira is sold via market orders on RUJI Trade orderbook DEX, and anyone can bid to catch the wicks by placing Tracking Orders at a discount to market price.
Market price is defined by THORChain enshrined oracle. To bid on at-risk collateral, users must place tracking orders at a fixed discount to oracle price, the order then rest in the orderbook like a limit order with the limit price updating every block as the oracle price changes. When a liquidation occurs via a market order, it pushes the price below the oracle price and fills the tracking orders from the lowest discount to the highest discount.
Two Integration Paths
There are two ways to participate in RUJI Liquidations:
Path 1: Bid on Liquidated Collateral (for end users)
Allow users to place tracking orders on RUJI Trade at a discount to oracle price. When liquidations occur and your order gets filled, you acquire collateral at your specified discount.
Best for:
Users who want to accumulate assets at discounted prices
Passive participation without running infrastructure
Path 2: Build a Liquidation Solver (for developers)
Build off-chain infrastructure that monitors at-risk positions, calculates optimal liquidation routes, and executes liquidations to earn the 0.5% executor fee.
