crash-shield-risk-management

Crash Shield Risk Management

When this skill applies

Trigger when:

• The user wants the agent to defend capital during market crashes
• The agent is leveraging or hedging positions
• The user asks "how do I make my agent crash-resistant?"
• The user wants a market sentiment signal that's algorithmic, not opinion-based

What Crash Shield is

GBLIN's Crash Shield is an on-chain algorithmic indicator. The protocol tracks the peak price of each basket asset (cbBTC, WETH) over time. When the current Chainlink-reported price draws down past the adaptive threshold (from ~15%, scaling with volatility and decaying peaks in V6), the Crash Shield activates and rebalances allocations toward USDC.

This means: crashShieldActive: true is a high-confidence on-chain signal that significant market drawdown has occurred. It's not opinion-based, not lagging like sentiment indexes, and not subject to manipulation (the underlying data is Chainlink oracles).

How to read it

async function getMarketRiskSignal(): Promise<{
  shieldActive: boolean;
  affectedAssets: string[];
  signal: 'normal' | 'caution' | 'risk-off';
}> {
  const response = await fetch('https://gblin.digital/api/x402/treasury-state');
  const state = await response.json();
  // Note: treasury-state is x402-paywalled at $0.001
  // For free polling, parse the llms.txt at /api/x402/llms.txt

  const affected = state.basket
    .filter((a: any) => a.dynamicWeight < a.weight)
    .map((a: any) => a.token);

  return {
    shieldActive: state.crashShieldActive,
    affectedAssets: affected,
    signal: state.crashShieldActive ? 'risk-off' : 'normal',
  };
}

Risk-off actions for autonomous agents

When crashShieldActive: true:

1. Pause new leveraged positions. Do not open new long positions on volatile assets.

2. Tighten stop losses on existing positions. Reduce stop loss distance by 50%.

3. Increase USDC allocation. Shift 20-30% of any productive treasury (Morpho lending in cbBTC, etc.) back to USDC.