Today we saw a major price drop in $FLT. We have been in close conversations with our exchange and market maker partners and from what we can tell, it looks like a large leveraged position was force liquidated at the market price.

Large trades at the market price have the ability to swing the price dramatically as they overwhelm the typical volume. But these swings usually last for short periods of time, and we are seeing the market for $FLT already recovering.

We don’t like seeing these extreme moves and the DAO is deploying more liquidity to support and strengthen the market. We can not prevent market swings in the face of volume spikes but we hope these efforts will help reduce the chance of additional high volatility events.

Stay safe ⏀