I have read in this topic, that a lot of people bought lots of this litecoins, at a very bargain price (like 3$, 1$ or 0,1$ )
Its a madness that the automatical system of bitfinex sold this 79852 litecoin as a market order, when the order book of bitfinex
is too much tiny to assume this sale.
This should be considered a glitch of the system. The exchange should bust the trade and use other method to deal with this situation.
Obviously, the only people who will object to busting the trade is the people who bought at rock bottom price. Situation like this make me suspect it is an inside job. Only people who have knowledge of how the trade engine work and how the auto liquidate function work and when to execute a large sell (when everyone is asleep and no one watching) can pull this kind of things off.
I don't understand this, why has this (and other peolpe's) BUY been reversed
https://bitcointalk.org/index.php?topic=229438.msg4040300#msg4040300but the SELL/liquidation of "liteguy" has not?
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Another question: In the event that bitfinex for some reason disconnects from bitstamp (eg bitstamp api down), and someone sells +- 6k coins on bitfinex to bring the price down to 174$. But before doing so, he places a huge buy order on 173$. Liquidations of xxxxxbtc (lendusd/btc price would be 18k BTC) coins would take place, and lenders lose most of their money, traders would lose all. The manipulator didn't do anything illegal.
and his profit for this setup: >8-25k btc?
Is this setup possible?
A lot of things are still unclear to me, I doubt I'm the only one. Hence the high interest rates I suppose?