Recently, Dragonfly partner Haseeb clashed again with OKX founder Star Xu regarding the cause of the '10/10 crash' in 2025. Haseeb believes that the disaster that caused a market-wide liquidation was not due to a single USDe depeg, but rather that a macro shock triggered an exchange API failure, leading to market-making failures, liquidity vacuum, and ultimately the result magnified infinitely by ADL (automatic liquidation).
CZ also participated in the interaction, and this discussion about 'who should be responsible for the liquidity collapse' revealed the fragility of the current microstructure of the crypto market.
1. Liquidity vacuum: the 'heart disease' of the crypto market
Haseeb mentioned that 'market-making failure' and 'API failure' are fatal flaws for centralized exchanges (CEX) in extreme market conditions. When data interfaces do not respond in time, algorithmic market makers will cancel orders to save themselves, leading to the sudden disappearance of depth, and any small selling pressure can trigger huge price deviations.
This is exactly the core issue that Dusk Network (@Dusk ) is trying to solve on-chain. As a Layer 1 designed specifically for financial institutions, #Dusk not only focuses on speed but also on the finality and compliance of settlements. In the ecosystem built on $DUSK , the liquidity of assets no longer relies solely on fragile API interfaces but is efficiently matched through a native privacy settlement layer, reducing systemic risk caused by third-party plugin failures.
Two, reject chain liquidation: The value of auditable privacy
Star Xu mentioned that the chain liquidation is a result amplified by structural leverage. In traditional CEX, this liquidation is a 'black box' operation.
Dusk Network ($DUSK ) has introduced auditable privacy technology. It allows institutions to achieve real-time position auditing through ZK-Proofs while protecting the privacy of trading strategies. This means that the system can issue warnings at the early stages of risk accumulation, rather than waiting for liquidity to dry up and forcing liquidation through violent ADL.
Three, 2026: From 'chaotic trading' to 'structured compliance'
The heated debate over the 10/10 event tells us that the market does not need to find a 'culprit', but rather needs to find a 'solution'.
• $DUSK (Dusk): Providing a robust buffer for large transactions through a native compliance framework.
Summary:
Regardless of the cause of the 10/10 crash, it has sounded the alarm for crypto infrastructure. In this time of fragile liquidity, projects like $DUSK that deeply engage in foundational financial logic and pursue institutional-level stability are key to avoiding systemic failure in the future.
#dusk #OKX #BinanceSquareTalks #RWA #内容挖矿
