Is CeFi less secure than DeFi?
We often hear that CeFi is less secure than DeFi. But is that really the case?
This article will explore the question in-depth.
Andreas Krom
Wash trading gone wrong - how a $100M/day crypto exchange accidentally bankrupted itself
This is the story of BaseFEX - a crypto exchange that unintentionally bankrupted itself through wash trading.
It's a cautionary tale for any crypto exchange looking to get ahead by faking volume - and a solid guide for anyone who knows a bit of coding, and wants to take advantage
Was FTX A Ponzi Scheme From The Beginning?
What we know:
1. In January 2018, just five months after launching, Alameda Research took a massive loan. The loan totaled $117M, and carried an annual interest rate of 43%. Officially, they needed the loan for doing Kimchi arbitrage - however, it was dubious that they ever did any arbitrage.
The Perpetual Option
The Perpetual Option is a funding-based derivative that can express an arbitrary number of payoff functions, including the one used by the Perpetual Future. This document provides a high-level overview of the Perpetual Option.
50 Crypto Market Making Firms That Are Active In 2023
0+: A Double Digit Sharpe HFT Strategy
Ever wondered how HFT strategies work?
Today, we'll explore the 0+ HFT strategy - a strategy that has been practiced for decades by various HFT firms - but remains largely unknown to the public.
0+ is all about speed and market microstructure. If you can't be the fastest, it won't
How An Obscure OTC-Traded Derivative From the 80's Took Over Crypto
This is the story of the perpetual future - a financial derivative that went from being an obscure OTC-traded derivative that nobody cared about - to being the largest and most successful derivative in the crypto space, trading more than $18T annually.
The Inception: Late 1980's Hong Kong
The story
Everstrike Launches First Floating Strike Perpetual Options
Dubbed as “the perpetual future of options”, the floating strike perpetual option is a novel type of option that doesn’t expire, and that remains relevant in perpetuity. It was originally introduced in May 2021, by Paradigm researcher Dave White, in a paper titled Everlasting Options.
“Perpetual options give traders
How Exchanges Handle Position Liquidations: A Brief Overview
Liquidation procedures vary widely across crypto exchanges.
This article provides an overview of the most popular ones.
Full, Immediate Liquidation
* Your position is transferred to the liquidation engine at its bankruptcy price.
Duration: 0 seconds.
Time: Immediately after your liquidation price is hit.
Result: -100% equity.
Fees: No fees. You
Mark Price, Index Price, Fair Price: How Are They Calculated?
A solid price index is essential for any crypto derivatives exchange.
The primary purpose of the price index is to help the exchange in establishing “The One True Price” — the price that the exchange uses when evaluating whether to liquidate a position or not.
The last traded price (Last Price)