Who Typically Executes the Liquidation Process in a Decentralized System?

Liquidation is typically executed by decentralized participants known as 'keepers' or 'liquidators.' These are bots or individuals who monitor the blockchain for under-collateralized positions. They compete to be the first to execute the liquidation transaction, paying the necessary transaction fees (gas) and receiving a liquidation bonus or penalty fee from the borrower's collateral as a reward for maintaining the system's solvency.