Your Protocol Isn’t Modular If It Rebuilds the Risk Engine

Real modularity starts when clearing, margin, and liquidation are outsourced to shared infrastructure.

Intro: Modularity Isn’t About Swapping UI Components

DeFi loves the word “modular.”

But in practice?

Most “modular” protocols still rebuild the riskiest, most complex part of the system — the risk engine.

Every options vault.

Every perp DEX.

Every lending protocol.

They all:

• Write their own margin models
• Define their own liquidation logic
• Patch together risk enforcement like it’s a design choice

That’s not modular. It’s monolithic with plugins.

Modularity Fails Without Shared Risk

If your protocol:

• Reinvents how margin is calculated
• Has custom rules for exposure
• Can’t interoperate with other margin engines
• Needs unique bots or off-chain services to liquidate

Then it’s not modular.

It’s isolated — and fragile.

Modularity means you can plug into standards.

Pascal is that standard for clearing.

Pascal Makes Risk Logic Modular

Pascal is a protocol, not a feature.

It provides:

• On-chain portfolio-based margin
• Risk netting across products
• Smart contract–enforced liquidation
• Real-time risk evaluation
• Composable APIs for any product vertical

This isn’t white-labeled margin logic.

It’s clearing as public infrastructure.

Why Builders Actually Win With Pascal

For builders:

• Skip years of building and testing risk code
• Integrate with infra that already powers trading at scale
• Focus on product differentiation — not margin math

For the ecosystem:

• Enables multi-product risk netting
• Simplifies user expectations
• Creates a DeFi standard for capital efficiency

Final Thought

A protocol that owns its risk engine owns its own failure. Pascal modularizes risk — so you don’t have to.