Numerous prominent cryptocurrency traders are publishing significant losses after the Bitcoin Money difficult fork, as the real effect of the questionable hash wars begins to make itself understood.
Simply as the rate of the initial Bitcoin Money BCH cryptocurrency began to fall recently, significant exchange OKEx suddenly ended $135 million worth of futures agreements, declaring it needed to secure customers from the upcoming market volatility.
This required the positions of a few of the greatest whales in the cryptocurrency market to be unexpectedly closed, leaving bigger mutual fund high and dry, Bloomberg reports
OKEx is likewise kept in mind to be the only cryptocurrency exchange to take these procedures.
One trader, Qiao Changhe of Agreement Technologies, declares to have actually right away lost $700,000 when OKEx closed its futures position at a loss. The fund, worth $5 million, states it will be downsizing using OKEx over how it managed the fork.
4 other traders likewise declared to be doing the same, with one submitting a main problem with the Hong Kong Securities and Futures Commission.
Strangely Enough, in the days preceding the abrupt closing of the agreements, OKEx provided a threatening caution to financiers:
Due to the BCH difficult forking in the coming future and for this reason the unstable motions in the Area and Future markets, OKEx wishes to advise all customers to concentrate on danger management, e.g. through reducing reliable utilize ratio, in order to prevent undesirable losses throughout the trading sessions before/during the difficult forking brought on by vicious market changes.
The relocation, while not unlawful or extraordinary, has actually worked as a plain pointer of the uncontrolled nature of the digital possession market.
OKEx is presently the second biggest cryptocurrency exchange by volume, with practically $850,000 in cryptocurrency being traded on its platform daily.
Released November 19, 2018– 11: 56 UTC.