The following is a literal translation of @ star_okx's clearing of billions of positions in the 10/10 market: There is no complicated reason, nor is it an accident. The root cause of the occurrence of 10/10 lies in some companies' irresponsible marketing activities. On October 10th, there was a liquidation of tens of billions of dollars in the market. As the CEO of OKX, we are very clear that since that day, the microstructure of the cryptocurrency market has undergone fundamental changes. Many industry participants believe that the damage caused this time is even more severe than the FTX crash. Afterwards, there was a lot of discussion within the industry about why it happened and how to avoid it from happening again. And the root cause is actually not difficult to find. ⸻ What actually happened Binance has launched a short-term customer acquisition campaign, offering USDe an annualized yield of 12% while allowing USDe to be used as collateral and receiving the same treatment as USDT and USDC, but lacking effective restrictions. 2/USDe is essentially a tokenized hedge fund product. Ethena raises funds through so-called stablecoins, invests them in index arbitrage and algorithmic trading strategies, and tokenizes the generated fund returns. Subsequently, this token can be deposited into the exchange to earn profits. There is a fundamental difference between USDe and products such as BlackRock's BUIDL and Franklin Templeton's BENJI. The latter is a tokenized money market fund with lower risk. And USDe is embedded with hedge fund level risk, which is a structural difference rather than a superficial packaging difference. Binance users are encouraged to switch from USDT and USDC to USDe for high returns, but there is a lack of sufficient emphasis on their underlying risks. From a user's perspective, there is almost no difference between trading with USDe and using traditional stablecoins, but the actual risk level is significantly higher. 5/As users perform the following actions, the risk further escalates: Convert USDT and USDC to USDe Using USDe as collateral to lend USDT Exchange borrowed USDT back into USDe Continuously repeating this cycle This leverage cycle has created over 24%, 36%, or even 70% of 'false annualization', and is widely mistaken as low-risk due to coming from large platforms. Systemic risks are rapidly accumulating in the global cryptocurrency market as a result. In this situation, even a small market shock can trigger a collapse. When fluctuations occur, USDe quickly loses its anchor and subsequently triggers a chain clearing. At the same time, the weak risk control points surrounding assets such as WETH and BNSOL further amplified this sharp decline, and some tokens were once close to zero. This incident has caused serious harm to global users and companies, including OKX's customers, and recovery will take time. ⸻ Why is this matter important I am discussing the root cause, not blaming anyone or launching attacks on Binance. Publicly discussing systemic risks can sometimes be uncomfortable, but such discussions are necessary if the industry is to mature and take responsibility. I anticipate that there may be a large number of error messages and organized FUD targeting OKX in the future. Nevertheless, it is still the right thing to openly discuss systemic risks, and we will continue to do so. As the world's largest trading platform, Binance has extraordinary influence, which corresponds to greater responsibility. The long-term trust in the encryption industry cannot be built on short-term profit games, excessive leverage, or marketing methods that conceal risks. This industry needs leaders who truly prioritize market stability, transparency, and responsible innovation, rather than a winner takes all mentality that treats criticism as hostility. The encryption industry is still in its early stages. What we choose to default or condone today will determine whether this industry can win long-term trust or keep repeating the same mistakes.