TradFi’s deep liquidity issue is crypto’s silent structural risk


TradFi’s deep liquidity issue is crypto’s silent structural risk


Despite crypto’s rapid growth and decentralized ideals, its liquidity remains fragmented and fragile — mirroring traditional finance’s hidden risks and exposing the market to sudden shocks when sentiment shifts.

Opinion by: Arthur Azizov, Founder and Investor at B2 Ventures

Despite its decentralized nature and big promises, cryptocurrency is still a currency. Like all currencies, it cannot escape the realities of today’s market dynamics.

As the crypto market develops, it starts mirroring the life cycle of traditional financial tools. The illusion of liquidity is one of the most pressing and, surprisingly, less addressed issues that stem from the market’s evolution.

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