Garrett Jin: The first exchange to establish a stability fund will attract capital inflows and drive industry development

On October 13th, Whale Garrett Jin, who previously sold more than $4.23 billion worth of BTC in a high-profile manner and switched to ETH, posted, "The more fundamental issue in the crypto industry is that exchanges provide high leverage for assets with no intrinsic value in order to meet user demand and boost profits. Such high leverage used to only exist in the foreign exchange market, where the underlying assets have value support, low volatility, and liquidity provided by banks." If exchanges continue to offer extremely high leverage, they should at least establish a mechanism similar to a stable fund, like in the US stock market, to provide liquidity support during crises. Only in this way can trust be rebuilt, capital be attracted, and the market develop healthily. The sharp drop on October 11th once again demonstrated that the market greatly needs liquidity support during extreme volatility. Exchanges that take the lead in establishing a stable fund will not only attract capital inflows but also drive the entire industry forward.