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Crypto Derivatives Boom Leaves Small Traders Vulnerable to Liquidation
As the market for crypto derivatives booms, researchers at the top U.S. university Carnegie Mellon have warned in a new study that sharp price swings and liquidations could disproportionately impact smaller traders. The new study by Pittsburgh, Pennsylvania-based Carnegie Mellon University’s CyLab, published April 19, found that trading volume in cryptocurrency derivatives exceeds that of the underlying spot markets. “Sophisticated actors are taking from amateur investors,” Kyle Crichton, a researcher at the lab who co-authored the report, said in an interview. “Wealth centralization is taking place and there ... (full story)