High Leverage Trading Incident in 2018 Led to Market Instability

Crypto KOL Dp (@Dp520888) on X reported that in 2018, a significant event occurred involving a user who established an unusually large long position in Bitcoin (BTC) using high leverage within a short period. Despite multiple requests from the platform to reduce the position for risk management purposes, the user refused to comply, which significantly impacted market stability. Consequently, the platform froze the relevant account in accordance with the user agreement. Eventually, due to the high leverage and a decline in BTC prices, the position was liquidated.