> For the complete documentation index, see [llms.txt](https://crypta.gitbook.io/crypta/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://crypta.gitbook.io/crypta/probability-exchange/liquidations.md).

# Liquidations

Liquidations protect the open Bankroll Liquidity Pool from accounts whose losses have reduced their collateral below the level required to support their open positions.

A liquidation is triggered when a trader's Margin Level falls below 100%.

$$
Margin ; Level = \frac{Equity} {Margin ; Used}
$$

When a liquidation is triggered, Crypta reduces or closes the trader's open position depending on the liquidation mode selected by the user.

Traders can choose between full liquidation or partial liquidation.

#### Full Liquidations

All of the trader's open positions are closed when their Margin Level falls below 100%.

#### Partial Liquidations

Reduces the size of the open position rather than closing it entirely. When Margin Level falls below 100%, the risk engine closes enough position quantity to restore the trader's Margin Level to 150% or greater.

$$
Margin ; Level \ge  150%
$$