IntroductionWith lending protocols like Compound V3 and its derivatives, such as Swaylend (a top lending protocol on Fuel Network), a liquidation happens when a borrower's collateral value drops below a certain threshold compared to their borrowed amount. In such cases, the user must be liquidated. Anyone can call the liquidation method; it is not limited to the governor. Liquidations are necessary to maintain a healthy market. They ensure that all debts are repaid appropriately and help...
