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guide · xRWA

What happens when liquidity disappears?

Why new exposure can pause without automatically forcing a sale of existing positions.

·2 min read
Price shock to Liquidity loss to Admission responsePrice shockmove the underlyingLiquidity lossdepth shrinksAdmission responsenew exposure pauses

xRWA’s admission controller compares gross stock exposure with a stressed executable-depth hypothesis, capital ceilings, issuer concentration, matched financing and a pilot ceiling. If the cap falls, new growth can stop.

A lower cap is not a liquidation instruction. Existing positions need valid prices, executable routes and a disclosed recovery process. Reproduce the crisis preset in Risk Lab.