# 3.4 Liquidity Buffer & Oracle Resilience

To manage the extreme volatility of crypto assets, AbyssPay employs a **Multi-Tiered Oracle System** (incorporating Chainlink and Pyth).

* **The Volatility Buffer:** Collateral is managed with a "Safe-LTV" (Loan-to-Value) ratio. For high-limit spending (e.g., $10,000/month), the protocol maintains a liquidity buffer to ensure that even during a market "flash crash," the merchant’s payment is guaranteed.
* **Dynamic Liquidation:** If the collateral value drops below a critical threshold, the protocol automatically executes a partial liquidation or prompts the user via the app to top up, ensuring the card remains active and the protocol remains solvent.


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