According to a 10x Research report, the recent crypto market crash has exposed deep-seated issues in exchanges' clearing and risk management mechanisms, with some platforms profiting from the incident while others suffered hundreds of millions of dollars in losses. The report notes that automated liquidation systems, designed to provide liquidity, have amplified the chaos during extreme market conditions, prompting institutions to re-examine their risk management systems.

A new focus of discussion within the industry is whether crypto exchanges should adopt "circuit breakers," emulating traditional financial markets, to limit extreme volatility. 10x Research notes that if implemented, this move could permanently alter the volatility structure and profitability of the crypto market. The report also recounts the political backlash triggered by leveraged liquidations in 2021, following Musk's announcement that Tesla would stop accepting Bitcoin payments. The far-reaching impact of this recent market crash could similarly reshape the crypto market structure.