Liquidation Market

The Liquidation Market is Juris Protocol’s venue for buying under‑collateralized assets at a discount.

When a borrowing account’s Health Factor falls below 1.0, the protocol automatically places its collateral into an on‑chain auction.

Bidders commit $USTC (or other accepted stablecoins) in advance, choosing a maximum discount they are willing to accept.

If the collateral is liquidated, the system fulfills bids from lowest discount to highest until the debt is repaid.

Any difference between the borrowed debt and the collateral value (minus liquidator fee) is returned to the borrower.

How Juris Liquidations Differ from Traditional Single‑Asset Models:

Feature	Juris Protocol	Typical Single‑Asset Model (e.g., Kujira‑style)
Collateral composition	Multi‑asset baskets – the protocol can split a basket into single‑asset “lots” or liquidate it as a mixed bundle, depending on pool settings.	Single‑token collateral only.
Bid currency	$USTC (default) – future governance may whitelist other stables.	Usually one designated stablecoin.
Partial fills	Yes – bids can be partially filled across several assets in the basket.	Yes (within a single asset).
Dynamic queues	Separate queue per collateral asset inside each basket; lowest‐discount bids fill first.	One queue per collateral asset.
Oracle pricing	Time‑weighted average price (TWAP) from decentralised oracle module to prevent manipulation.	Similar TWAP or on‑chain price feed.

These design choices let Juris handle complex collateral setups while preserving the familiar, efficient bidding UX power‑users expect.