What Layer 3 enforces at every trade
Layer 3 is the gate at execution time. Every order must satisfy:
- Spot-only — the order is a spot trade with immediate, fully-settled ownership transfer.
- T+0 settlement — no future-dated obligations, no margin, no derivative wrapping.
- Liquidity floor — the asset's 24-hour volume meets the tier minimum.
- Concentration cap — the resulting position is within the tier's per-asset cap.
- No haram counterparty mechanic — the order is a clean spot trade against USDT or USDC, not a margin-flag-set trade against borrowed inventory.
If any of those fail at execution, the trade is rejected and the bot waits for the next decision window.
Why universe-build-time AND execution-time
A coin can pass Layer 3 at universe construction and still fail at execution if circumstances change. Examples we have seen: a Binance pair suspension between universe build and the next decision window; a sudden volume drop after a delisting announcement; an exchange-imposed regional restriction that triggers between candidate selection and order placement. Re-checking at execution catches these.
The interaction with Layers 1 and 2
Layer 3 is independent of Layers 1 and 2 — a coin must pass all three. The execution screen is not a softer check; it is its own dimension. A halal asset (passes 1 and 2) can still be ineligible to trade today because it does not clear the liquidity floor (fails 3 today, may pass tomorrow).
What Layer 3 means for tier choice
Conservative's $50M liquidity floor is what makes it the most conservative tier — it eliminates everything that cannot exit cleanly under stress. Multi-X's $5M floor is what allows mid-cap exposure but also why Multi-X has the wider drawdown profile.