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"America" Will Support Bitcoin, Fiat Is Hopeless | Macro Monday

The Wolf Of All Streets

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The Paradox of Liquidity and Market Volatility

This chapter explores the intricate relationship between market making and liquidity in credit products, emphasizing how increased liquidity can inadvertently heighten market volatility. The discussion highlights the risks associated with holding large positions in treasuries and the potential for significant losses in downturns, arguing that the provision of liquidity may lead to unexpected tail risks.

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