Some time ago, a major platform publicly disclosed abnormal operations of the OM project — using a combination of pump and dump, collateral lending, and market manipulation to profit. The method was exactly the same as what XVS once did on a leading exchange back in the day.

Interestingly, that exchange bore the losses themselves back then. Now, this platform has come out claiming to have evidence and threatening to report illegal activities to regulatory authorities — implying that retail investors’ losses will not be compensated.

But here’s a frustrating issue: in contract trading, sudden price spikes and especially the kind of "1011-style" disconnection operations that cut the internet cable, make it impossible for retail investors to close their positions. Who can retail investors turn to for complaints about these incidents? Will regulators actually intervene?

Fortunately, that leading exchange had a bit of conscience at the time and launched a mutual aid compensation program. Otherwise, retail investors would have been completely wiped out.

When the exchange itself suffers losses, it screams for regulation, but when retail investors are exploited, they can only bear it themselves — this double standard is truly disheartening.