CZ clarification: The "flash crash" of BTC/USD1 trading pair is an instantaneous price fluctuation caused by low liquidity and has not been cleared BlockBeats reported that on December 26th, Catherine, the head of business development at Solv Protocol, announced that Binance and USD1 have launched a 20% fixed annualized deposit promotion, with a large number of users exchanging USDT for USD1, resulting in a premium of approximately 0.39% for USD1 at one point. Part of the funds were then borrowed through the Lista DAO lending market, using SolvBTC or SolvBTC BTCB as collateral to borrow USD1, and gradually sold in the spot market to meet demand. During this process, some traders directly sell BTC using market orders through BTC/USD1 trading pairs. However, due to the extremely low liquidity of the transaction, a single market order quickly wiped out buying orders, briefly lowering the BTC quote, and then quickly bought back and repaired the price by arbitrage robots. '' CZ clarified that this actually indicates that the trading platform did not participate in the relevant transactions. Due to the low liquidity of newly launched trading pairs, a large market order may drive the price up instantly, but arbitrageurs quickly corrected the price back to normal levels. At the same time, since the trading pair was not included in any index, liquidation was not triggered