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Kinetex Network has mechanisms to handle orders that have not been fulfilled within a certain time limit. If an order reaches its timeout and expires uncompleted, a Liquidator can step in to fill this order and refund a User.
It works in the following way:
The Liquidator fills the expired order, and if they provide a proof of this action to CollateralManager, they can claim the collateral initially set aside for it. Thus, Liquidators can profit from filling the expired orders.
Liquidation with a flash loan overview
Furthermore, if the collateral and the OrderSender contract are located on the same network, a failed order could be liquidated in a single transaction using a flash loan. A flash loan is a feature in DeFi that allows the Liquidator to borrow assets without any collateral, as long as the borrowed assets are returned within the same transaction. Flash loans enable Liquidators to complete the liquidation process more efficiently without the need for additional transactions or collateral.