Crypto Liquidation Catastrophe: Post-Crash Analysis - Who Profited Amid the Chaos?On October 11, a major crypto liquidation event caused massive losses, triggered by geopolitical risks and a stablecoin depeg. While many traders suffered, trading platforms and DEXs earned record fees. Key issues included high leverage, low liquidity, and flawed liquidation processes, highlighting the need for stronger risk management. Read More https://t.co/rDM9m5k8ao ...

The pattern is clear.After each major liquidation event, we see chop and consolidation.Sometimes it’s even followed by a lower wick fill. https://t.co/2ivcMDClHL ...

kinda lit they did it on a public exchange tho at least they kinda let us knowThe Kobeissi Letter (@KobeissiLetter):This is unusual:~30 minutes before President Trump's tariff announcement yesterday, a "whale" took a multi-million dollar SHORT in Bitcoin.1 hour later, crypto saw its largest ever liquidation and this position was liquidated for +$192 MILLION in profit.Did someone know? https://t.co/1yWCrEFfM5 ...

Perps DEXs will probably airdrop everyone who got liquidated yesterday so keep your head up ...

Crisis Response & Transparency - The company addresses concerns arising from a viral post and assures users of their commitment, emphasizing that user stories are prioritized [1][2] - The company states that all traders were immediately and automatically paid out without issue following a massive liquidation cascade [3] - The company clarifies there were no clawbacks or socialized losses [4] - The company publishes daily proof of reserves, and the exchange has been operating uninterrupted since the event, albeit with some hiccups [4] - The company emphasizes its approachability and commitment to doing the right thing, lacking a PR crisis management team [15] Technical Explanation & System Design - The company explains that a screenshot was taken out of context, clarifying it was a technical explanation of how futures profits and losses work, not a policy decision [3][5] - The company operates as a neutral peer-to-peer exchange, not taking positions for users or providing liquidity [6] - The company details the settlement process where profits are exchanged between longs and shorts, highlighting that winners earn from losers in a zero-sum system [7][8] - The company clarifies that bankrupt users caused a settlement issue, which was resolved by the company settling all accounts before publishing proof of reserves [9][10] - The company designed the system to be robust to liquidation events, isolating risk between longs and shorts, with spot holders unaffected [13]

Still trying to process this.$20B in liq’s is a bloody massacre… https://t.co/cbzP7JZAsbHaseeb ＞|＜ (@hosseeb):Best analytical writeups/threads about the recent crash re: microstructure, auto-deleveraging, depegs, etc? Seems like lots to dissect across the industry in last 24 hours. ...

RT jeff.hl (@chameleon_jeff)TLDR: During recent volatility, Hyperliquid had 100% uptime with zero bad debt. This was Hyperliquid’s first cross-margin ADL in more than 2 years of operation. ADL does not change the outcome for any liquidated users. While some specific ADL providing trades were unfavorable, the aggregate effect of ADL was that traders realized significant pnl by closing positions at favorable prices that were only briefly available.--It’s sad to see some people attack Hyperliquid to deflect fr ...

Market Analysis - The crypto market experienced its largest liquidation event in history [1] - This liquidation event potentially marked the bottom for most altcoins [1] - Historically, after leverage flush, the market tends to bottom out and experience significant growth [1] - This growth is attributed to the completion of all necessary selling and panic selling [1]

RT Elliscope🧑‍🚀 (@elliscopef)we just experienced one of the most volatile day in the market. @navi_protocol as a platform is performing as expected and fully okay.all oracle performed as normal, some liquidation was triggered as protective mechanism- specifically, 3,722 liquidations totaling about $10M in collateral.liquidating users is not our preference, and please be careful with one's position by adding more variety of assets as collaterals. ...

Yesterday’s crypto crash explained with damage, how it happened, and whyWe saw the biggest crash in the history of crypto with $19.2 billion liquidated and approx $800 billion in value wiped out across the board.Altcoins were hit the hardest , with many dropping 50%or more in just hours.Prices for some tokens, like IOTX on Binance, even briefly hit zero due to the chaos.But what exactly started this crash?To break it down simply, think of it like a chain reaction in a highly leveraged game of musical chairs ...