Quote:
Originally Posted by PokerEthics
If someone missed their margin call how can this be coinflexs fault?
terrible take
they clearly gave him enough margin to the point that a moderate (and wholly historically precedented) drop in crypto would not only ensure a loss on any liquidation, but a loss big enough to bankrupt the company - all this to one single private individual - this isn't even accounting for all the other accounts they had who must have also been given margin
it's quite clear by now that they don't seem to have any mechanism to claim said lost assets in court, if they did then we'd be reading about this via legal briefings and not via twitter spats - my best guess is the contract implied that liquidation would resolve all margin non payment - this is how failure to meet margin calls are typically handled
it was extremely idiotic to offer enough margin to a single account whereas the company is still busto after liquidation - that's 100% on coinflex
my best guess is the whale saw the big picture, that they were offering him a freeroll where he made captured all the upside and coinflex held the bag on all losses
dude founded not one but two different exchanges, very savvy person who could have done this on his own, he saw an idiot and pounced - is this immoral, maybe, is it illegal? no. would most people itt take advantage of billion dollar freeroll if given the opportunity - i imagine most would
this is 100% on coinflex, fact they are now attempting to name and shame on twitter simply proves how poorly run a company they are as you wouldn't be doing that if there were any other possible routes to getting whole again