─── scenario: adl-trigger ──────────────────────────────────── HEADLINE ✓: Oracle drop from 110 → 30 with an empty book: the long is liquidated Underwater and the maker short is force-closed via ADL. DESCRIPTION: One long (10) opens against one short maker (40) at entry 110; both stay healthy at block 1's stub mark (100). At block 2 the oracle index price prints 30 — a 73% drop. The long is now deeply underwater (collateral 50, mark-to-mark loss 80 per contract), and the CLOB book is empty (the maker order was already fully consumed), so the close-loop has no liquidity to absorb the long. The Underwater close kicks the residual into the insurance fund and ADL force-closes the maker counterparty at the haircut price. Use this scenario to see the insurance-fund + ADL path fire on a single-position, no-liquidity oracle shock — the textbook reason ADL exists. TIMELINE (per-block): height mark src trades fills deposits liqs adl fund ------ ------ --------------- ------ ----- -------- ---- --- ---- 1 100 stub-empty-book 2 1 2 0 — — 2 30 oracle 0 0 0 1 yes — 3 30 oracle 0 0 0 0 — — ACCOUNT DELTA (final − initial): account collateral position avg_entry ------- ---------- -------- --------- 10 0 0 110 40 350 0 110 (initial account count: 0, final account count: 2) OUTCOMES: ✓ Long (10) and maker short (40) — exactly two trading accounts after the chain history applies. ✓ The 73% oracle drop flags the long for liquidation. ✓ With no resting bids to absorb the close, ADL force-closes the maker short. ✓ Account 10's long is fully closed by the liquidation. ✓ Account 40's short is fully closed by ADL. 5 of 5 outcome(s) verified. NOTE: v1 runs the scenario in-process against a unit-provider `LiveRethEvmBridge<()>` (no Reth boot). For the production-shape run (real Reth + Malachite + JSON-RPC), use: openhl reth-devnet --chain-history scenarios/adl-trigger.json --rounds 3 NEXT: • Adopt this engine : https://github.com/psyto/rdk • Custom build : https://fabrknt.com/waitlist.html?product=evm-perp&intent=build • Hosted access : https://fabrknt.com/waitlist.html?product=evm-perp&intent=hosted