CandleFocus Tron Founder Justin Sun Issues Crucial Ethereum Warning: Details
2025-03-11
Author: Content Editor
Crypto billionaire Justin Sun has warned of a major issue on the Ethereum network involving high leverage used by traders. He believes this problem could result in losses for protocols and DeFi projects on Ethereum. Sun has urged the Ethereum team to address the issue at an earlier stage to prevent further damage. The excessive leverage in ETH-based trading has been increasing, particularly in derivative markets, leading to a higher risk of liquidations during periods of price volatility. Additionally, the use of ETH as collateral in DeFi protocols further exacerbates the problem. Sun's warning comes as Ethereum experienced a 15% crash but has since rebounded slightly.
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