I still recall the Refco scandals from last decade. And on the face of it this actually seems like relatively good governance on the part of OKEx. They forced l

I still recall the Refco scandals from last decade. And on the face of it this actually seems like relatively good governance on the part of OKEx. They forced liquidation when it got out of control. Injected the company's own capital into an insurance fund. And triggered the contractual clawback only on the profitable put trades. Key takeaway is that the exchange itself never went under or engaged in fraud. Which at the end of the day is the desired outcome for all contract holders and exchange members. If the BTC price had gone up, it may never have been an issue. The only fault is allowing the position in the first place without adequate margin. Market Protocol is claiming on twitter they've solved the solvency problem using smart contracts: https://marketprotocol.io/ https://marketprotocol.io/