Crypto
Binance's Alpha Tied to CEX Collapses, Expert Claims
A recent discussion among cryptocurrency experts has shed light on the potential reasons behind the collapse of several major centralized exchanges (CEXs) such as BitMart and BitMex.
The conversation, led by a well-known figure in the crypto community, points to the role played by Binance's Alpha and high-frequency trading firms in exacerbating market volatility and contributing to the downfall of these CEXs.
The expert suggests that the high leverage offered by these exchanges, combined with the aggressive trading tactics employed by some firms, created a perfect storm that led to their demise.