Market dumps into thin books on a single fiat exchange (Bitstamp, Coinbase Pro, Kraken) are always oracle attacks (b/c a best-execution oriented seller would simply sell across all venues over a window).
Perhaps time to discuss what safeguards these exchanges should consider.
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Oracles are only responsible for reporting the truth, not for controlling events or even what people do with the truth. To spot exchanges, the behavior is neither good nor bad. A robust index, like is much less vulnerable to being influenced by a market anomaly.
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So, it is not so much an attack on the oracle as it is the exploitation of a naive counter party. The sucker accepted an unknown, variable price, which turns out could, under the terms, be set by the other contract participant. Oops. Not the oracle's fault.
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The answer is no
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Depends on the circumstances. If there was an actual malfunction, yes. But if the markets are just inefficient because some large prop firm randomly shut down, and you think there’s such a sweet arb opportunity lying around, why complain to kraken? Go ahead and take it
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The exchange is not responsible for the price whatsoever. The exchange's responsibility is to match orders. The "price" (bid, ask, last trade, whatever) is set by the market participants, not the exchange. So, if the tech is working properly, the exchange is never responsible.
Noted. So if the price of btcusd went from $10k to $1 and back to $10k on btcusd on kraken while nowhere else moved, you'd consider that the forces of the free market and that margin longs on kraken should have done more due diligence, yes?
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if all orders are matched properly, why should kraken be liable?
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