This section contains hooks for monitoring liquidation risk and performing liquidations on Compound III.
Summary of Liquidation Hooks
useIsLiquidatable
The useIsLiquidatable hook checks if an account can be liquidated.
Usage
import { useIsLiquidatable } from 'compound-react';
function LiquidationStatus({ accountAddress }) {
const { isLiquidatable, loading, error } = useIsLiquidatable(null, accountAddress);
if (loading) return <div>Loading...</div>;
if (error) return <div>Error: {error.message}</div>;
return (
<div>
<h2>Liquidation Status</h2>
<p>
{isLiquidatable
? 'Account is at risk of liquidation!'
: 'Account is in good standing.'}
</p>
</div>
);
}
Return Value
{
isLiquidatable: boolean | null;
loading: boolean;
error: Error | null;
refetch: () => Promise<boolean | null>;
}
useAbsorb
The useAbsorb hook allows liquidators to absorb (liquidate) an underwater account.
Usage
import { useAbsorb } from 'compound-react';
function AbsorbComponent() {
const { absorb, loading, error, txHash } = useAbsorb();
const handleAbsorb = async () => {
// Absorb an underwater account
const accountToAbsorb = '0x1234...';
const tx = await absorb(accountToAbsorb);
console.log('Absorb transaction:', tx);
};
return (
<div>
<button onClick={handleAbsorb} disabled={loading}>
{loading ? 'Absorbing...' : 'Liquidate Account'}
</button>
{error && <p>Error: {error.message}</p>}
{txHash && <p>Transaction: {txHash}</p>}
</div>
);
}
Return Value
{
absorb: (accountAddress: string) => Promise<string | null>; // Returns transaction hash
loading: boolean;
error: Error | null;
txHash: string | null;
}
useBuyCollateral
The useBuyCollateral hook allows users to buy collateral from the protocol during liquidation.
Usage
import { useBuyCollateral } from 'compound-react';
function BuyCollateralComponent() {
const { buyCollateral, loading, error, txHash } = useBuyCollateral();
const handleBuyCollateral = async () => {
// Buy WETH collateral with 1000 USDC
const collateralAsset = '0xC02aaA39b223FE8D0A0e5C4F27eAD9083C756Cc2'; // WETH
const minAmount = ethers.utils.parseUnits('0.5', 18); // Minimum 0.5 WETH to receive
const baseAmount = ethers.utils.parseUnits('1000', 6); // 1000 USDC to spend
const recipient = '0xYourAddress...'; // Address to receive the collateral
const tx = await buyCollateral(collateralAsset, minAmount, baseAmount, recipient);
console.log('Buy collateral transaction:', tx);
};
return (
<div>
<button onClick={handleBuyCollateral} disabled={loading}>
{loading ? 'Buying...' : 'Buy WETH Collateral'}
</button>
{error && <p>Error: {error.message}</p>}
{txHash && <p>Transaction: {txHash}</p>}
</div>
);
}
Return Value
{
buyCollateral: (
asset: string,
minAmount: BigNumber,
baseAmount: BigNumber,
recipient: string
) => Promise<string | null>; // Returns transaction hash
loading: boolean;
error: Error | null;
txHash: string | null;
}
useGetAskPrice
The useGetAskPrice hook retrieves the ask price for collateral during liquidation.
Usage
import { useGetAskPrice } from 'compound-react';
function AskPriceDisplay({ assetAddress }) {
const { askPrice, loading, error } = useGetAskPrice(null, assetAddress);
if (loading) return <div>Loading...</div>;
if (error) return <div>Error: {error.message}</div>;
return (
<div>
<h2>Ask Price</h2>
<p>Price: {ethers.utils.formatUnits(askPrice || 0, 6)} USDC</p>
</div>
);
}
Return Value
{
askPrice: BigNumber | null;
loading: boolean;
error: Error | null;
refetch: () => Promise<BigNumber | null>;
}
useGetLiquidatorPoints
The useGetLiquidatorPoints hook retrieves the liquidator points for an account.
Usage
import { useGetLiquidatorPoints } from 'compound-react';
function LiquidatorPointsDisplay({ accountAddress }) {
const { points, loading, error } = useGetLiquidatorPoints(null, accountAddress);
if (loading) return <div>Loading...</div>;
if (error) return <div>Error: {error.message}</div>;
return (
<div>
<h2>Liquidator Points</h2>
<p>Points: {points?.toString()}</p>
</div>
);
}
Return Value
{
points: BigNumber | null;
loading: boolean;
error: Error | null;
refetch: () => Promise<BigNumber | null>;
}
useGetReserves
The useGetReserves hook retrieves the reserves of the protocol.
Usage
import { useGetReserves } from 'compound-react';
function ReservesDisplay() {
const { reserves, reservesUSD, loading, error } = useGetReserves();
if (loading) return <div>Loading...</div>;
if (error) return <div>Error: {error.message}</div>;
return (
<div>
<h2>Protocol Reserves</h2>
<p>Reserves: {ethers.utils.formatUnits(reserves || 0, 6)} USDC</p>
<p>Reserves in USD: ${reservesUSD?.toFixed(2)}</p>
</div>
);
}
Return Value
{
reserves: BigNumber | null;
reservesUSD: number | null;
loading: boolean;
error: Error | null;
refetch: () => Promise<void>;
}
useGetTargetReserves
The useGetTargetReserves hook retrieves the target reserves of the protocol.
Usage
import { useGetTargetReserves } from 'compound-react';
function TargetReservesDisplay() {
const { targetReserves, targetReservesUSD, loading, error } = useGetTargetReserves();
if (loading) return <div>Loading...</div>;
if (error) return <div>Error: {error.message}</div>;
return (
<div>
<h2>Target Protocol Reserves</h2>
<p>Target Reserves: {ethers.utils.formatUnits(targetReserves || 0, 6)} USDC</p>
<p>Target Reserves in USD: ${targetReservesUSD?.toFixed(2)}</p>
</div>
);
}
Return Value
{
targetReserves: BigNumber | null;
targetReservesUSD: number | null;
loading: boolean;
error: Error | null;
refetch: () => Promise<void>;
}
useGetCollateralReserves
The useGetCollateralReserves hook retrieves the collateral reserves of the protocol.
Usage
import { useGetCollateralReserves } from 'compound-react';
function CollateralReservesDisplay() {
const { collateralReserves, collateralReservesUSD, loading, error } = useGetCollateralReserves();
if (loading) return <div>Loading...</div>;
if (error) return <div>Error: {error.message}</div>;
return (
<div>
<h2>Collateral Reserves</h2>
<p>Collateral Reserves: {ethers.utils.formatUnits(collateralReserves || 0, 18)} WETH</p>
<p>Collateral Reserves in USD: ${collateralReservesUSD?.toFixed(2)}</p>
</div>
);
}
Return Value
{
collateralReserves: BigNumber | null;
collateralReservesUSD: number | null;
loading: boolean;
error: Error | null;
refetch: () => Promise<void>;
}