PID

CDP Feedback Control & Collateral Stability Simulator

Dynamic PID Stability Fee Regulation & Automated Liquidation Stress Engine
Scenarios:
PID Gains & Parameters
Proportional Gain (Kp) 0.40
Immediate fee response proportional to current collateral ratio error.
Integral Gain (Ki) 0.05
Accumulated error elimination to force long-term peg restoration.
Derivative Gain (Kd) 0.10
Dampens sudden volatility velocity to prevent stability fee overshooting.
Market Stress Controls
Price Shock Magnitude -25%
Shock Duration (Steps) 15
Liquidation Threshold 120%
System Solvency
SOLVENT
12,000 Liquidated
Collateral Ratio
1.42x
Target: 1.50x min
Stability Fee Rate
8.4%
Δ +0.12%/step
Peg Restoration
18 Steps
Target Peg: $1.00
Closed-Loop CDP PID Control Architecture
Σ Target 1.50x Error e(t) PID Controller (Kp, Ki, Kd) Stability Fee % CDP Asset Pool & Liquidation Engine Observed Ratio Market Peg & Ratio Feedback Sensing Loop (-)
Time-Series Time Step Scrubber Step 60 / 60
Collateralization Ratio over Time
PID Stability Fee Control Output
Stable Asset Peg Deviation ($)
Liquidation Volume Executed ($)
🛡️ CDP Collateral Feedback Simulation Result Vector

Validated PID feedback response for collateralized pool risk parameter state:

Solvency Status SOLVENT
Stabilized Ratio 1.42x
Peg Recovery Steps 18
Total Liquidations 12,000
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