Collateral Auto-Top-Up on Price Drop Tool

WHAT IT DOES

Collateral Auto-Top-Up on Price Drop Tool enables users to automatically add collateral to their lending positions when asset prices decline, maintaining a safe collateral ratio and preventing liquidation. The tool reads your connected wallet address, lending position contract address, collateral token address, debt token address, current collateral ratio, target collateral ratio, price feed data, price drop threshold, top-up amount, token balances, current block timestamp, and liquidation price. It monitors the collateral price and calculates whether the position's collateral ratio has fallen below the target. When a price drop exceeds the configured threshold, the tool recommends and executes a top-up transaction, depositing additional collateral to restore the position to safety.

HOW TO USE

Connect your wallet and select your network. Enter the lending position contract address, collateral token address, and debt token address. Set your target collateral ratio (e.g., 150%) and the price drop threshold that should trigger a top-up (e.g., 5%). Click "Monitor position & price" to load your current position details including the collateral ratio, current price, liquidation price, and whether a top-up is needed. If the price has dropped sufficiently and your ratio is below target, click "Execute auto-top-up" to deposit additional collateral. The tool handles token approval and the top-up transaction in one flow.

THE REAL MECHANISM — PRICE MONITORING WITH COLLATERAL RATIO VERIFICATION

Unlike simple position checkers that only display a ratio, this tool implements a price-triggered top-up system with threshold-based execution. The getPositionInfo function returns the collateral amount, debt amount, current collateral ratio, and liquidation price. The getPrice function returns the current price of the collateral asset from the protocol's oracle. The tool compares the current price to the previously recorded price to calculate the percentage drop. If the drop exceeds the configured threshold and the collateral ratio is below the target, the tool flags that a top-up is needed. The topUpCollateral function transfers additional collateral tokens from the user to the position contract, increasing the collateral amount and improving the ratio. The tool calculates the required top-up amount based on the current ratio and target ratio. All arithmetic uses ethers.js BigNumber with the token's decimal precision, and gas costs are reported using receipt.effectiveGasPrice.

WHAT IT CANNOT SEE

Cannot predict future price movements—the tool cannot forecast whether prices will continue to drop or recover. It cannot ensure price feed accuracy—the tool relies on the protocol's oracle and cannot verify the price data's reliability. It cannot guarantee liquidation prevention—top-up transactions may fail due to gas issues, network congestion, or rapid price movements. It cannot detect if the position contract contains vulnerabilities or malicious code—the tool does not audit the contract logic. It cannot recover funds if a top-up transaction fails or if the position is liquidated.

PLEASE NOTE — EVM CHAINS ONLY

This tool exclusively supports EVM-compatible chains where ethers.js can connect via standard JSON-RPC. It does not support non-EVM chains such as Solana, Tron, Starknet, SUI, TON, Aptos, Bitcoin, Cosmos, or XRP. The position contract must implement the specific interface expected by this tool (getPositionInfo, getCollateralToken, getDebtToken, getPrice, topUpCollateral). Always monitor your positions regularly—auto-top-up is a risk management tool, not a guarantee against liquidation. This tool is a position management interface, not a financial advisor or investment strategist.