Fulcrom Finance
  • About Fulcrom
    • Fulcrom Finance
    • What is perpetual trading
    • Spread
    • Slippage
    • Fees
    • Revenue Share
    • Liquidation
    • Tokenomics
    • Roadmap
  • Core Modules
    • Trading Module
      • Trading Module Features
      • Trade Lifecycle
    • Fulcrom Liquidity Pool (FLP)
    • Liquidation Engine
    • Staking Module
      • $FLP
      • $FUL
      • $esFUL
      • Boost Points
      • Vesting $esFUL
      • Staking Parameters
  • Other Features
    • Referral Program
      • How to apply referral code?
      • How to generate my referral code?
      • How to claim my rebates?
      • How to check my membership tier and earnings?
      • FAQ
      • Terms of Use
    • Trade Square
    • Circuit Breaker
    • Notifications
      • How to start receiving notifications on Fulcrom?
      • How to start receiving notifications on Telegram?
      • How does the liquidation warning notification work?
    • Take Profit & Stop Loss Orders
      • How to set Take Profit/Stop Loss Orders when creating new positions?
      • How to set Take Profit/Stop Loss Orders after opening positions?
      • How to view the existing Take Profit/Stop Loss Orders?
    • Trading Competition (Cronos)
      • Aug 2023
      • Jun 2023
    • zkMania (zkSync Era)
      • zkMania Season 1
      • zkMania Season 2
    • croMania (Cronos Exclusive)
    • zkEVM Frenzy (Cronos zkEVM)
    • Fulcrom Mayhem
  • Additional
    • Get Started on Cronos zkEVM
      • Bridge Asset via Official Bridge
        • How to deposit CRO for zkCRO
        • How to deposit ETH for vETH
        • How to deposit USDC for vUSD
        • How to deposit USDT for vUSD
        • How to deposit DAI for vUSD
      • Swap via H2 Finance
    • FAQ
    • Team
    • Team Wallets
    • Socials and Partnerships
    • Smart Contracts
    • Supported Tokens
    • Security and Audits
    • RPC
    • Cronos Labs Incubation
    • Risk Disclosures
    • Usage Disclaimer
    • Terms of Use
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On this page
  • What is Circuit Breaker?
  • When will Circuit Breaker be triggered?
  • Condition 1: Market volatility
  • Condition 2: Imbalanced short-to-long open interest ratio
  • What will happen when Circuit Breaker is triggered?
  • Condition 1: Market Volatility
  • Condition 2: Imbalanced short-to-long open interest ratio
  • How will this benefit me as a Fulcrom user?
  • As a Trader
  • As a FLP holder
  1. Other Features

Circuit Breaker

Security and stability

Circuit Breaker aims to protect Traders and FLP holders under temporary market fluctuations.

What is Circuit Breaker?

Circuit Breaker is designed to minimize the impact of market volatility on trading activity and protect users from significant losses. When triggered, Circuit Breaker will pause trading activity and prevent any new orders from being placed until market conditions stabilize.

When will Circuit Breaker be triggered?

Circuit Breaker will be triggered under two conditions:

Condition 1: Market volatility

Our keeper bot monitors individual token price in real time. When there is a 20% drop in price of token(s) within 5 minutes, Circuit Breaker will be triggered and applied to the affected token(s).

Condition 2: Imbalanced short-to-long open interest ratio

When a token's short open interest is over a set threshold, and if the ratio of short-to-long open interest is larger than a set value, Circuit Breaker will be triggered and users will not be able to open short positions on the token(s) temporarily.

Circuit Breaker does NOT apply when the ratio of long-to-short open interest is larger than the set value.

See the table below for details:

Cronos

Token
Max Short Open Interest
Max Short-to-long Open Interest Ratio

AAVE

USD 150,000

2

ADA

USD 150,000

2

ATOM

USD 150,000

2

BCH

USD 150,000

2

BTC

USD 200,000

2

CRO

USD 150,000

2

DOGE

USD 150,000

2

ETH

USD 200,000

2

HBAR

USD 150,000

2

LION

USD 150,000

2

LTC

USD 150,000

2

NEAR

USD 150,000

2

PAXG

USD 150,000

2

PENGU

USD 150,000

2

PEPE

USD 150,000

2

SHIB

USD 150,000

2

SOL

USD 150,000

2

SUI

USD 150,000

2

TRUMP

USD 150,000

2

UNI

USD 150,000

2

WIF

USD 150,000

2

XRP

USD 150,000

2

zkSync Era

Token
Max Short Open Interest
Max Short-to-long Open Interest Ratio

BTC

USD 200,000

3

ETH

USD 200,000

3

ZK

USD 100,000

3

Cronos zkEVM

Token
Max Short Open Interest
Max Short-to-long Open Interest Ratio

BTC

USD 200,000

2

vETH

USD 200,000

2

What will happen when Circuit Breaker is triggered?

Condition 1: Market Volatility

Trading activities of the affected pair(s) will be paused for 15 minutes. During the period:

  • You will not able to open new market order for the affected token(s)

  • You will not able to open new limit order for the affected token(s)

  • You will be able to close existing position for the affected token(s)

It has a predetermined time-out period for 15 minutes, after which it will be automatically lifted and trading activities will resume.

You will see the following pop-up for the affected trading pair(s):

There will be a manual feature to override the predetermined timeout period if it requires more time to implement a solution.

Condition 2: Imbalanced short-to-long open interest ratio

Opening short position on the affected trading pair will be prohibited until the triggering conditions are not longer satisfied.

How will this benefit me as a Fulcrom user?

As a Trader

When token price drops for 20% in 5 mins, there is a high chance that the price spread is large, causing users to accidentally open trade or swap tokens at an unfavourable price.

Circuit Breaker protects traders from sudden and drastic price movements. They provide a temporary halt in trading, which allows investors to regroup, evaluate their strategies, and make more informed decisions. This helps prevent investors from making rushed or emotionally-driven trades during highly volatile market conditions.

As a FLP holder

Circuit Breaker will help stabilize FLP status from market volatility and prevent the liquidity on our FLP pool to be drained away.

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Last updated 9 days ago