Transferring insurance funds to Bitcoin: A bold move or hidden risks?
Historically, insurance funds have often prioritized stablecoins to maintain fixed value, but converting to Bitcoin is a completely different story. We must remain clear-headed and recognize that Bitcoin, no matter how powerful, is still an asset with significant price volatility. That's the situation; if the market suddenly enters a deep correction phase, the value of the SAFU fund could evaporate quickly just when users need compensation the most. #anhbacong
Although the exchange has committed to compensating additional funds if the fund drops below 800 million USD, financial pressure during market panic periods cannot be underestimated. The conversion within 30 days is an effort to mitigate impact, but it also shows an increasing dependence on the stability of BTC. We should not rush to "jump on the bandwagon" of excitement and forget that risk management is the key to survival. We need to closely monitor regular audit reports to ensure that this "shield" is always thick enough to protect the community from any unexpected events. $BTC $BNB
