Nextrade Flash Crash Reignites Crypto Oracle Fears
SK Hynix shares briefly plummeted by 30% on Nextrade, South Korea's alternative stock exchange, in another pre-market glitch. This is the second such incident in two weeks, following a July 28 crash that triggered around $60 million in Hyperliquid perpetual liquidations.
The flash crash occurred at 8:00 a.m. local time when only 11 shares changed hands at 1,168,000 won ($840) each on Nextrade. The stock quickly recovered, ending the pre-market session down about 2%.
Similar to the previous incident, this glitch raises concerns over the reliability of price feeds used in perpetual contracts tied to real-world equities. These contracts rely on oracles to bring external market data onto blockchain platforms, and a single trading venue's limited liquidity can leave markets vulnerable to sharp moves.