> For the complete documentation index, see [llms.txt](https://docs.gage.cash/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.gage.cash/start-here/no-liquidation.md). # No liquidation, defined What "no liquidation" means on gage, exactly, and what it does not mean. Every time the words appear on gage, they carry the same definition: {% hint style="success" %} **Nothing can touch your collateral before expiry; at expiry you choose.** {% endhint %} ## What it means * **No price can trigger anything.** The contracts never read a price in the deal path. A 50% drop on day three changes nothing about the deal. There is no health factor, no margin call, no keeper watching for a threshold. * **The date is the only clock.** Expiry is the time of full funding plus the term, 7 or 21 days. Nothing before that date has any effect on custody. * **You choose at expiry.** Pay the cap and reclaim, or walk away and keep the USDG. Both are legitimate outcomes. The product is designed so that walking away is a decision, not a failure. * **A fixed date with a fixed outcome.** On the current engine, repayment closes when the term ends, and from that same second the lenders may claim: there is no race and no window in which only the borrower can act. Positions funded on the two earlier V2 engines keep a 48-hour grace window after the term, in which only the borrower can act; the position page shows each deadline. ## What it does not mean * It does not mean the collateral is safe from your own decision. If you miss the deadline, the lenders keep your collateral. That is the one way to lose it. Turn on [Telegram alerts](/borrow/reminders.md) from Portfolio or a position page, and repay early rather than at the deadline: a chain or wallet outage in the last hours can block a repayment. * It does not mean the price cannot move against you. If you walk away because the collateral fell, the fall was still real. You simply kept the USDG and gave up the collateral. * It does not mean a lender is protected from price. A lender who ends up holding the collateral holds it at whatever it is worth then. ## Why the design is this way Traditional lending against volatile collateral needs an oracle to decide when to sell, and a market to sell into. Both fail in the moments that matter. gage removes both. The lender's protection is the discount they buy at, not a sale on a bad day. The borrower's protection is time: a fixed date, and nothing else with a say. See [Security invariants](/protocol/invariants.md) for how this is enforced in the contracts. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation by asking a question. Perform an HTTP GET request on the following URL with the `ask` and `goal` query parameters: ``` GET https://docs.gage.cash/start-here/no-liquidation.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is what the user is ultimately trying to achieve, the reason they need the answer. Sharing it helps GitBook give you a better, more relevant answer. A goal is most helpful when it describes the outcome the user wants rather than restating the question. For example, with `ask=how do I create an API token`, a goal like `automate deployments from our CI pipeline` lets GitBook tailor the answer to that use case. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.