Chapter 5 ADL here: https://x.com/yq_acc/status/19...
@yq_acc thanks for sharing, when an exchange implement a circuit breaker, wouldn't the exchange be susceptible to potential losses? (and factoring in other exchanges who might not have such a circuit break implemented) also this possibly goes against the lego/interconnected nature of
@rippyfied True. So this may apply for some assets they have most of volume.
@yq_acc This is great stuff. Thanks for analysis and sharing! With the DeFi lessons learned back in 2020 and the trading infra didn’t evolve with it. It’s a 230x impact amplification from that systematic oracle design flaw using 1 venue spot price that can be influenced. Hope CZ and
@VictorLeeJW Perfect oracle design is always tough to impl for new systems as parameters/mechanism may be completely diff.
@timyangnet True. 1:1 mapping is definitely not correct. Volatility is necessary especially for cex spot/perp. But the tricky part is on the perfect design across cex/dex.
@yq_acc Great read. Was this event Binance specific this time?
@chip1cr Mainly oracle issue.
@yq_acc Great article! I had no idea it was so complex! Insane.
@BodiCan35 Yeah, new systems always have different complex components. But history repeats
@HeslinKim @redstone @Api3DAO Haha. Onchain oracles are pretty good this time.
@duitkripto BN @cz_binance @heyibinance have done great work on addressing some of these issues. This scale of liquidation really like ddos, which is tough to handle immediately.
@yq_acc Another great article. Thanks for enlightening
@yq_acc "Infrastructure Scaling: Design for 100x normal capacity" Yes this is how you prevent devastation on a long timeframe. You max overbuild defense mechanisms. Nice to see someone providing ideas for improvement.
@yq_acc Sharp analysis. This wasn’t a market event; it was an oracle design failure.
@yq_acc Thanks for the article. 👍
@yq_acc We need great events to find people like you on CT .well written
@yq_acc Thanks a lot for sharing your analysis on market crash. It really helped me understand core concepts in depth. I'm looking forward to learning more from you
@yq_acc Whats the solution? Multiple sources to validate pricing. Can not depend on One Centralized Oracle ❌ Infra redundancies & alternative routing 🚏 Option to have levels of liquadations so people do not get Zerod out unless they chose to risk all their collateral ⚠️
@yq_acc Nice read. Thanks for your work!
@yq_acc 100% spot market oracle is arrogant, and an ignorant of risk
@yq_acc “bZx integrated Chainlink after their 2020 attacks. They stopped getting attacked via oracle manipulation. This isn't coincidence.” Yep.
@yq_acc Next unicorn will be the one who brings a solution to this problem.
@yq_acc What oracles were used?
@yq_acc Fuck Oracles
@yq_acc Well written, mate. 👏🏼 Nice analysis & logic & potential/proposed solutions 👍🏼
@yq_acc What does @CryptoHayes have to say about this?
@yq_acc Absolutely awesome!!! The best explanation so far!! Thanks for taking time and explaining in these three parts!