[OKX Star: The Crypto Flash Crash on October 11 Was Caused by Binance's Irresponsible USDe Investment Activity] According to a report by Jinse Finance, OKX CEO Star posted on the X platform, stating, 'The events of October 10 were caused by irresponsible marketing activities by certain companies. Tens of billions of dollars were liquidated. Many industry participants believe the damage this time is more severe than the FTX collapse. The root cause is not difficult to identify. What Actually Happened Binance launched a temporary user yield activity, offering a 12% annualized yield on USDe while allowing USDe to be used as collateral, treated the same as USDT and USDC, with no effective restrictions. Binance users were encouraged to convert USDT and USDC into USDe to gain substantial returns, but the potential risks were not adequately emphasized. From the user's perspective, trading with USDe seemed no different from using traditional stablecoins—yet the actual risk profile was significantly higher. As users engaged in the following actions, risks escalated further: • Converting USDT/USDC into USDe • Using USDe as collateral to borrow USDT • Converting the borrowed USDT back into USDe • Repeating this cycle This leverage loop generated artificial annualized yields of 24%, 36%, or even 70%+, widely perceived as 'low risk' simply because they were offered by a major platform. Systemic risks rapidly accumulated in the global crypto market. At that point, even a minor market shock was enough to trigger a collapse. When volatility struck, USDe quickly depegged. This was followed by cascading liquidations, and weaknesses in risk management around assets like WETH and BNSOL further amplified the crash. Some tokens even traded near zero prices at one point. Global users and companies (including OKX clients) suffered significant losses, and recovery will take time.'