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Trump Crypto Advisor: Credit Crisis Over DeFi Lending Is Becoming A Crypto Liquidity Crisis, With High Potential Of Contagion To CeFi

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2025-11-07 02:23:43
Trump's cryptocurrency advisor David Bailey has said that the credit crisis in the decentralized finance (DeFi) lending sector is evolving into a cryptocurrency liquidity crisis. If the collateral required for margin collection cannot be provided, or the hedging operation fails, the risk of spreading from decentralized finance (DeFi) to centralized finance (CeFi) is extremely high... On October 10th, the second round (crisis) may come. Hopefully things will not develop to this point, but still need to be cautious and avoid counterparty risk.
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