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resupply-liquidation

Detect underwater Resupply positions and execute collateral seizure and debt repayment.

Updated Jan 28, 2026
Search Tags:#defi#liquidation#collateral#resupply#bad-debt#undercollateralized#liquidator
One-click install
npx skills add https://github.com/cyotee/resupply-skill --skill resupply-liquidation
Or copy as Structured Prompt for Agent▼
Please help me install this Agent Skill.
Skill: resupply-liquidation
Source: https://github.com/cyotee/resupply-skill/tree/main/.opencode/skills/resupply-liquidation
Command: npx skills add https://github.com/cyotee/resupply-skill --skill resupply-liquidation

SYSTEM DOCUMENTATION & REQUIREMENTS

What problem does it solve?

Under-collateralized positions in Resupply create risk of bad debt; this skill outlines how liquidations are triggered and executed to protect the protocol.

Core Features & Use Cases

  • Detects when a borrow exceeds the allowed LTV and triggers collateral seizure.
  • Supports pair-level liquidations and centralised LiquidationHandler workflows, including reward incentives for liquidators.
  • Documents handling of bad debt via insurance pools and debt burning.

Quick Start

Explain how a Resupply underwater position is liquidated and collateral is seized.

Frequently Asked Questions about resupply-liquidation

High-intent search queries and answers about installing and using this skill.

FAQPage Schema
How do I liquidate an undercollateralized Resupply position?▼

Liquidating an undercollateralized Resupply position requires detecting when a borrow exceeds the allowed LTV, then seizing collateral and repaying debt via pair-level contracts or the centralized LiquidationHandler workflow.

How does liquidation prevent bad debt in DeFi lending protocols?▼

Liquidation prevents bad debt by allowing liquidators to seize collateral from underwater positions and repay the debt, maintaining protocol solvency when a borrow position falls below its maximum loan-to-value threshold.

Do I need accurate price feeds to process Resupply liquidations?▼

Yes, accurate price feeds are strictly required to verify LTV checks and calculate collateral pricing, ensuring positions are correctly identified as undercollateralized before collateral seizure and debt repayment are executed.

What is the difference between pair-level and centralized liquidation flows?▼

Pair-level liquidation interacts directly with the ResupplyPair contract, while centralized liquidation routes collateral seizure, debt repayment, and liquidator reward incentives through the LiquidationHandler workflow.

Can I partially liquidate a position or is full liquidation required?▼

Full liquidation of positions is required. The process applies liquidation fees and uses LTV checks to validate the entire undercollateralized position before collateral is seized and the underlying debt is fully repaid.

How is bad debt handled when liquidation is not enough in Resupply?▼

Resupply handles unliquidated bad debt via insurance pools and debt burning mechanisms, ensuring the protocol absorbs remaining undercollateralized losses without causing cascading systemic failures.

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