Xu Mingxing: Based on the 100% reserve principle, when the loan amount exceeds the deposit amount, the platform's automatic currency exchange mechanism will be triggered

Odaily News OKX's Xu Mingxing responded to the issue of "users questioning OKX's lending mechanism": 1. OKX's current mortgage loan is a C2C market between users. OKX only provides a platform to help match users with borrowing needs and earning needs; 2. 100% reserve is a basic responsibility of OKX. When the loan amount exceeds the deposit amount, the platform's automatic currency exchange mechanism will be triggered due to the 100% reserve requirement; 3. OKX certainly limits the maximum loan amount and does not allow it to exceed 100%; 4. Due to the market activities of this currency, a large number of depositors redeemed their currency at the time, resulting in the loan amount exceeding 100%, which in turn triggered automatic currency exchange; 5. The OKX team will review the underlying design mechanism of the mortgage loan platform to see if there is an optimization plan, and everyone is welcome to give more suggestions.