The Great De-Leveraging: Friday Flash Crash - Tanay Ved

I find it fascinating to read about crypto market volatility because these markets are "pure" in ways that the financial markets are not. There are no trading curbs. They are all global markets. They never close. They are public chains with full visibility to all transactions. And on top of that they are, typically, incredibly fast and highly liquid. These events are also opportunities for the blockchains that underpin them to test their durability, performance, and resilience.

There are many orders of magnitude of difference in the total asset value of course, but these are multi-billion dollar movements as well. In general crypto markets tend to be more volatile but seem to recover very fast. I’m not an expert in this domain but in general I wonder if increased fluidity and resilience of a market can support reduced manual interventions.