Lighter Strategy LLP conducts first live test of restricted loss protection for liquidity providers
PANews reported on February 26 that Lighter announced the completion of the first live test of LLP Strategies during a recent large-scale long liquidation event on ARC perpetual contracts. A trader established an extremely large long position on ARC, with the total open interest reaching 50 million USDC, while the counterparties were about 600 traders and market makers. The ARC contract belongs to Strategy 7, with only 75,000 USDC LLP funds able to bear the ADL risk. As the ARC price declined, the massive long position was first liquidated for about 2 million USDC on the order book, and then further ADL-ed to LLP, after which healthy short positions took over. In the end, the large trader lost about 8.2 million USDC, the LLP loss was limited to 75,000 USDC, and the short side profited.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Piper Sandler lowers General Mills target price to $35
Major Crypto ETFs Bled $1.5 Billion While Wall Street Went Dip Shopping
"Big Short" Burry increases short positions on Nasdaq 100 and semiconductors, says Nvidia (NVDA.US) influence may enter a "new paradigm"
"The Big Short" Michael Burry has increased his bearish bets on the Nasdaq 100 Index and semiconductor stocks.
Duan Yongping: Currently will not sell Nvidia, and in the future Jensen Huang may return as a “shadow CEO”
Duan Yongping has made it clear that he will not sell Nvidia and sold a large number of put options on the day the news was released. Nvidia may invite Jensen Huang to serve as an advisor, taking on a “shadow CEO” role to retain his influence, but he would no longer have signing authority. Whether this scenario materializes will likely only become clear after the hearing concludes.
Crypto prices
More
