Closes all open positions.
AI agents use close_all_positions to commit financial operations through Alpaca MCP Server — usually the final step of a payment, billing, or trading workflow. A call moves real money.
This tool triggers mass liquidation of all open trading positions across stocks, options, and/or crypto. It is a Financial action (settling/closing market positions moves money and realizes gains/losses). The blast radius is critical: an AI agent misusing this tool could instantly liquidate an entire portfolio at potentially unfavorable prices, causing significant, largely irreversible financial harm.
From the tool's definition 'Closes all open positions' — closing all trading positions is a financial operation that liquidates the entire portfolio instantly and irreversibly commits to market prices at execution time.
Attacks that exploit this kind of access
Closes all open positions. It is categorised as a Financial tool in the Alpaca MCP Server MCP Server, which means it involves financial transactions. Block by default and require explicit approval.
Register the Alpaca MCP Server MCP server in PolicyLayer and add a rule for close_all_positions: allow, deny, rate-limit, or require approval. Point your MCP client at the PolicyLayer proxy URL and the rule is enforced on every call, before it reaches Alpaca MCP Server. Nothing to install.
close_all_positions is a Financial tool with critical risk. Critical-risk tools should be blocked by default and only enabled with explicit human approval.
Yes. Add a rate_limit block to the close_all_positions rule in your PolicyLayer policy. For example, setting max: 10 and window: 60 limits the tool to 10 calls per minute. Rate limits are tracked per agent session and reset automatically.
Set action: deny in the PolicyLayer policy for close_all_positions. The AI agent will receive a policy violation error and cannot call the tool. You can also include a reason field to explain why the tool is blocked.
close_all_positions is provided by the Alpaca MCP Server MCP server (metachain-org/alpaca-mcp-server). PolicyLayer sits as a proxy in front of this server to enforce policies before tool calls reach the server.
Every MCP server has a record like this.
Type a name, get the same breakdown: verified identity, auth posture, risk grade, capabilities, recommended policy.
Teams ship this data inside their own products. See what a licence covers →