# Introduction to Liquidation Protocol

Category: Placing Trades › Understanding Futures Trading  
Source: https://help.coinunited.io/en/articles/introduction-to-liquidation-protocol  
Last updated: 2026-09-30

When your account’s **Total Account Value** falls below its **Maintenance Margin (USD)**, your position(s) may begin liquidation to reduce the account’s overall risk. Once liquidation starts, all open orders are canceled, and the **CoinUnited.io liquidation engine** takes over management of the account.

## Important Notes

**1. Estimated Liquidation Price**: The displayed liquidation price is only an estimate. Actual liquidation depends on multiple factors, including contract performance and collateral currency.

**2. US Clients**: US-based users are not permitted to use CoinUnited.io.

**3. Investment Disclaimer**: None of the information here constitutes investment advice.

## How the Liquidation Engine Works

### Trigger for Liquidation

**1. Condition:** An account enters liquidation when its **Total Account Value** falls below the **Maintenance Margin (USD)**.

**2. Initial Action:** All open orders are immediately canceled, and the liquidation engine assumes control.

## Liquidation Process

**1. Unstake Flexible**: If there is insufficient balance, flexible staking is unstaked to cover margin needs.

**2. Duration**: Depending on position size, liquidation can be **incremental**.

**3. Liquidation Stops**: If partial liquidation reduces your account leverage such that the **margin fraction** (Total Account Value / Maintenance Margin) is restored above maintenance requirements, liquidation ceases.

## How to Determine Your Liquidation Risk

A key measure to assess the risk of liquidation is to monitor your Maintenance Margin (USD).

### Maintenance Margin (USD)

### CoinUnited.io APP

![CoinUnited.io APP](https://cu-api.com/helpcenter/uploads/maintenance_margin_app_605e5eaa2f.webp)

### CoinUnited.io Web Platform

![CoinUnited.io Web Platform](https://cu-api.com/helpcenter/uploads/maintenance_margin_pc_e92481f398.webp)

**1.** Also displayed in the right-hand explanatory box on the position page.

**2. Indicator:** If your **Total Net USD Value** falls below the **Maintenance Margin**, liquidation starts.

**3. Partial liquidation:** In many cases, partial liquidation is sufficient to bring your account back above maintenance margin requirements, stopping further liquidation.

## Need More Help?

For further questions or issues, please visit our [Help Center](https://help.coinunited.io/) or use our chatbot for assistance.

We're here to help. Happy trading!