Category Archives: economy

economy, international, law, politics, social

‘Their own voters are pissed’: Lawmaker says GOP left with ‘no choice’ but to attack Trump

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A throughline is reportedly developing in the reaction of Republican lawmakers to the controversies piling up around President Donald Trump.

The president and his legal team have reportedly asked the Department of Justice for $230 million to settle damage claims related to his past federal prosecutions. However, House Speaker Mike Johnson responded firmly, saying, “Never happen again, and for that, there needs to be accountability.”

Senator Thom Tillis (R-NC) conceded that he had “optics concerns” about Trump’s move. Meanwhile, Senator Cynthia Lummis (R-WY) stated, “I decide based on what I hear from my constituents.” Lummis was among many GOP lawmakers who claimed they “never heard about” Trump’s demand for $230 million from their constituents.

Senator Ted Budd (R-NC) indicated that he and other Republicans “look through the lenses of our state” — in his case, focusing on hurricane recovery in western North Carolina — before criticizing the president. “I want to make sure that those he’s appointed to his cabinet are actually doing that,” Budd added.

On the other hand, Democrats told MSNBC that their Republican colleagues are primarily afraid of going against Trump. Representative Jared Huffman (D-CA) explained, “Trump’s wrath if they cross him badly, and their own voters who are rightfully pissed off right now over the Argentina bailout. That’s why they’re mostly silent, and when they do speak out, it’s on something like Argentina where their base is leaving them no choice, and where Trump probably won’t end their careers over just this one thing.”
https://www.rawstory.com/donald-trump-corruption-2674225593/

economy, entertainment, gaming, technology

Destiny 2 Update 9.1.5.2 full patch notes: Unstable Cores removed, ability buffs, and more

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Destiny 2 Update 9.1.5.2 Patch Notes: Weekly Reset on October 21

The recent patch accompanying Destiny 2’s weekly reset on October 21 has removed an entire currency from the game. Unstable Cores, which were previously used to infuse gear to a higher Power level above 200, have now been replaced with a fixed cost consisting of Enhancement Cores and Glimmer. Players will also notice several adjustments to their abilities following the update.

This article provides a comprehensive list of all the patch notes included in Destiny 2’s Update 9.1.5.2, based on Bungie’s official website.

1) Gameplay and Investment

Power and Progression

Infusion Costs: Unstable Cores have been deprecated as the currency for Infusion. They have been replaced with a flat cost of one Enhancement Core and 5,000 Glimmer regardless of Power level. Additionally, Unstable Cores will no longer be granted when dismantling gear.

Exotic Armor

Stronghold: Fixed an issue where Stronghold wasn’t providing Ergo Sum with infinite Guard and maximum Guard Resistance.

Weapons

Weapon Perks: Fixed an issue where the enhanced Controlled Burst perk was not gaining improved duration over the base perk.

Abilities

  • Titan – Prismatic Shiver Strike Melee: Now refunds 80% when not hitting a target in PvE and 40% in PvP, as originally intended.
  • Hunter – Solar – On Your Mark Aspect: Removed cooldown on building On Your Mark stacks in PvE. Precision Hand Cannon hits now grant two stacks of On Your Mark. Precision hits and final blows at ten stacks will refresh On Your Mark.
  • Warlock – Void – Vortex Grenades: Fixed an issue where Vortex Grenades would push certain larger enemy types away instead of pulling them in.

2) Activities

  • Portal: Challenge modifiers removed from matchmaking.
  • Elemental Hungers – Volatile Shields, Match Game, Lightning Crystals, Cosmic Super Conductors, Ashes to Ashes, Slow and Small, Energy Drain, Haste, Antisurge: Various adjustments applied.
  • The Heliostat Pinnacle Operation: Now properly indicates that Barrier Champions will appear at higher difficulties.
  • Fixed an issue where breaking Vex crystals in The Heliostat mission would not grant Wolfsbane Intrinsics to all players in the fireteam.
  • Fixed an issue with some Dungeon Lairs offering multiple options for limited revive token skulls.
  • Fixed an issue where loot from the Contest of Elders Pinnacle Operation would go directly to the Postmaster instead of the inventory.
  • The Desert Perpetual: Updated Network Technician Triumph to accurately reflect the completed state of the Atlas & Almanac quest. In both base and epic versions of Agraios, prevented timing issues where alignment could cause multiple bosses to target the fireteam simultaneously during Variable Elimination.

3) General

  • A refund of 300 or 600 Bright Dust is now available on Special Deliveries for players who overpaid when purchasing one or two pieces of Bright Dust armor ornaments during Week 1 of the Ash & Iron event. Players who purchased three or more ornaments will receive an additional separate refund directly to their Bright Dust balance for the remaining amount owed.
  • Fixed an issue where the new competitive emblem for reaching Ascendant III was not visible in Collections.
  • Fixed a visual issue where the Featherfine shader appeared identical to the Iron Valus shader.
  • The Rewards Pass ship’s name has been updated for all supported languages.

Additional Resources

About the Author

Soumyadeep Banerjee is a journalist specializing in Esports & Gaming at Sportskeeda, with a focus on Destiny 2 and Gacha games. He holds a diploma in Computer Science and has a keen interest in game development. During his free time, he enjoys learning new languages and exploring MMORPGs, manga, and light novels.

Edited by Soumyadeep Banerjee

https://www.sportskeeda.com/mmo/destiny-2-update-9-1-5-2-full-patch-notes-unstable-cores-removed-ability-buffs

culture, economy, government, politics

McCarthy: “I call it the ‘Seinfeld’ shutdown because it’s a shutdown about nothing.”

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Former House Speaker Kevin McCarthy has criticized Democrats for declining to pass a continuing resolution to keep the government open without conditions.

“I call it the ‘Seinfeld’ shutdown because it’s a shutdown about nothing,” the California Republican told CBS News chief Washington correspondent Major Garrett. He was referencing the common joke that the seminal sitcom *Seinfeld* was a “show about nothing.”

McCarthy contrasted the current impasse with the situation in 2013, saying it is “the reverse [of] where Republicans were,” when some GOP lawmakers pushed for a spending bill that would roll back the Affordable Care Act, while Democrats advocated for a “clean” bill to fund the government. That standoff led to a 16-day government shutdown before Republicans ultimately conceded to Democrats.

This year, the roles appear reversed. Republicans are pushing for a clean bill to keep the government open at existing spending levels. Meanwhile, Democrats are demanding extensions to expiring health insurance subsidies and a rollback of Medicaid restrictions passed earlier this year.

Democrats argue that immediate negotiations over health insurance tax credits are crucial to prevent millions of people from facing higher premiums. Republican leaders say they are open to negotiating on health care — but only after the shutdown ends.

McCarthy accused Democratic leaders of “trying to find a message” and being “fearful” of their party’s rank-and-file members. He also noted a key difference from prior funding fights: the country is now more divided, with each side blaming the other, making it difficult to pinpoint who is responsible for the stalemate.
https://www.cbsnews.com/news/kevin-mccarthy-seinfeld-shutdown-trump-democrats/

business, economy, entertainment, finance, technology

Netflix shares slide on rare earnings miss — snapping six-quarter profit streak

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Netflix Misses Earnings Target, Cites Brazilian Tax Dispute as Cause

Netflix missed the earnings target set by stock market analysts during its latest quarter, marking a break in the company’s six-quarter streak of posting profits that exceeded expectations. The Los Gatos, Calif.-based streaming giant attributed the earnings shortfall to an unexpected $619 million expense related to a tax dispute in Brazil.

Despite this setback, Netflix highlighted its strong lineup of distinctive TV series and films, which have kept its audience engaged. The company also noted a successful combination of subscriber fees and increased ad sales that helped deliver revenue in line with analyst forecasts.

Investors, however, were not entirely reassured by the explanation. Following the earnings announcement on Tuesday, Netflix’s shares fell approximately 6% in extended trading.

Diverging Analyst Opinions

Analyst reactions to Netflix’s third-quarter report were mixed. Thomas Monteiro, an analyst at Investing.com, expressed concern that Netflix might be using the Brazilian tax hit to mask underlying signs of slowing subscriber growth and advertising revenue amid economic uncertainty. “The truth is that the company failed to deliver the kind of growth we’ve grown used to over the past couple of years,” he said.

Conversely, Jeremy Mullin of Zacks took a more optimistic view, stating that Netflix’s “underlying story remains solid” and sees little cause for concern.

Financial Highlights

In the July-September quarter, Netflix earned $2.5 billion, or $5.87 per share, representing an 8% increase from the same period last year. Revenue rose 17% year-over-year to $11.5 billion.

Analysts surveyed by FactSet Research had expected Netflix to earn $6.96 per share on revenue of $11.5 billion. While the company matched revenue estimates, it fell short on earnings per share, primarily due to the Brazilian tax expense.

A Shift in Focus

Netflix has increasingly emphasized delivering solid financial growth over quarterly subscriber gains. As part of this strategic shift, the company stopped disclosing its subscriber numbers at the end of last year. This change has so far been effective, with Netflix’s stock price rising approximately 40% this year—though the dip in extended trading following the earnings release suggests some of those gains may be at risk.

Subscriber Growth and Market Position

Although Netflix no longer reports specific subscriber data, this year’s revenue growth suggests its worldwide subscriber base has increased from roughly 302 million at the end of last year, maintaining the company’s lead among video streamers. This is notable even as well-funded rivals such as Amazon and Apple continue expanding their programming selections.

In the company’s quarterly conference call, co-CEO Ted Sarandos revealed that Netflix’s total worldwide audience—including multiple viewers within the same subscriber household—is approaching 1 billion.

“We have a better understanding of the streaming business than any of our competitors,” asserted Greg Peters, Netflix’s other co-CEO, during the call.

Diversification Efforts

Netflix has sustained its market leadership by diversifying its offerings, adding live sports and video games alongside its extensive scripted programming. The company plans to expand this diversification further by introducing video podcasts in partnership with Spotify next year.

As the streaming landscape evolves, Netflix’s strategy focuses on broadening its content portfolio to maintain user engagement and drive continued growth.
https://nypost.com/2025/10/21/media/netflix-shares-slide-on-rare-earnings-miss-snapping-six-quarter-profit-streak/

economy, international, politics, russia, war

Saving lives in Ukraine will require Trump to play the strong cards at his disposal

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President Donald Trump’s mission to stop the killing in Ukraine has hit a wall. His strategy to let both Moscow and Kyiv “claim victory” and halt the fighting is missing the agreement of one man: Vladimir Putin, the last obstacle to peace.

Last week, Trump and Putin held yet another high-stakes phone call to end the war. Once more, they talked for two hours and appeared to make progress. A peace summit between all sides seemed possible—only for Russian Foreign Minister Sergey Lavrov to derail the process by repeating Putin’s maximalist demands.

Putin has not altered his original aim: “The whole of Ukraine is ours,” as he has asserted. The Kremlin is repeating a familiar pattern. Putin clearly does not want peace, even if he keeps talking about it with Trump endlessly.

As Putin filibusters, Russia’s military is ramping up efforts to replace its catastrophic losses, recruiting troops as if the war will never end. Here, Russia faces a major limitation in sustaining its invasion: it cannot conscript soldiers, but must buy them.

The fact is any traditional call-up of Russian soldiers for Ukraine would threaten the regime’s stability—a significant weakness for the Kremlin. Russian officials learned this lesson the hard way back in September 2022 when they attempted a “partial” call-up of young men. The move sparked widespread public opposition, causing the Kremlin to quickly back down.

This leaves the “golden handshake”—lucrative cash bonuses and incentive packages for volunteering—as Russia’s primary option for recruiting cannon fodder. But this cost is reaching new heights.

To meet recruitment targets, some of Russia’s regions have significantly increased pay for voluntary service in Ukraine. In Tyumen, Siberia, officials this month began offering a lump sum of $36,560—approximately three times the area’s average yearly salary—on top of Moscow’s $5,086 cash bonus for volunteering to fight in Ukraine.

Other regions have similarly made extravagant increases to their signing bonuses and are adding extra cash to recruits’ lavish monthly salaries. But few volunteers live long enough to collect their regular pay: one recent report estimated the average life expectancy of a Russian recruit to be just one month after signing a contract.

Worse still for the Kremlin, even as the payroll and golden handshake costs rise, Russia’s economic might is shrinking. This puts Putin in a tight financial corner—and Ukraine, the United States, and the Europeans hold all the cards.

To end the war, Trump must make Putin pay an exponentially higher price for it.

Ukraine has taken the first step, targeting Russia’s ability to refine oil. No military or society can function for very long without diesel and gasoline, and Ukraine’s planners have clearly identified this weak point in the Kremlin’s war economy.

In a series of spectacular drone attacks, they have struck Russian refining plants, doing significant damage to this key industry.

During his meeting with Trump on Friday, Zelensky stressed his country’s need to sustain this “oil war” with US-made weapons that can strike even deeper inside Russia.

So far, the White House has waffled on delivering this hardware—but Trump has told Putin that he was considering it. The US foot-dragging must end. Ukraine should have the ability to take out Russia’s major military-industrial targets.

Next, the United States and Europe must be more aggressive in eliminating Russia’s “shadow fleet” of oil tankers. This fleet consists of older, poorly insured vessels that operate outside of Western-imposed price caps on oil and regulatory oversight, effectively allowing Russia to sell its oil and fund its war while circumventing sanctions.

NATO’s navies can and must play a more aggressive role in seizing Russian tankers that violate international law and sanctions.

Finally, and perhaps most important, the United States must drop the hammer of secondary sanctions on countries that continue to buy Russian oil.

Trump has repeatedly called on Europeans to stop funding both sides of the Ukraine war, noting that while the European Union sends military aid to Ukraine with one hand, members like Hungary, Slovakia, and Austria have funneled billions to Russia through energy payments.

They need to halt this back-door support for the Kremlin—or pay a price for their stubbornness.

On October 6, Ukraine’s helpline for Russian servicemembers, “I Want To Live,” released what it claimed were internal Russian documents showing that 86,744 Russian soldiers were killed in Ukraine during the first eight months of 2025—an average of 10,842 per month.

In addition, 33,966 soldiers are missing, 158,529 were wounded, and 2,311 captured.

Saving lives in Ukraine will require Trump to play the strong cards at his disposal just as he did this month in the Middle East. But to make that move, he must first make it clear that he views Russia as the aggressor.

*Peter Doran is an adjunct senior fellow at the Foundation for Defense of Democracies, where Dmitriy Shapiro is a research analyst.*
https://nypost.com/2025/10/21/opinion/saving-lives-in-ukraine-will-require-trump-to-play-the-strong-cards-at-his-disposal/

business, economy, employment, layoffs

Molson Coors to cut 9 percent of workforce in the Americas amid slowing sales

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Molson Coors has announced plans to undergo a significant restructuring process. As part of this initiative, the company will eliminate 400 salaried positions.

This decision reflects Molson Coors’ efforts to streamline operations and enhance overall efficiency. Further details about the restructuring and its impact on the organization are expected to be shared in the coming weeks.
https://thehill.com/business/5565068-molson-coors-beer-job-cuts/

business, economy, international, politics

Depending on China for rare-earths is one of our dumbest mistakes — and must be corrected PRONTO

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In the 1960s, conservative intellectual James Burnham wrote a book arguing that the decline of Western civilization was a self-imposed choice. His volume, famously titled *The Suicide of the West*, desperately needs an update—one that includes an epilogue about the United States’ growing dependence on China for the mining and processing of rare earth elements. This vulnerability ranks as one of the most fantastically self-damaging strategic missteps of our time.

China is exploiting its advantage in trade negotiations with the United States by restricting the supply of rare earths to gain leverage. A key focus of President Donald Trump’s recent meeting with Australian Prime Minister Anthony Albanese was forging an agreement to jointly invest in critical-minerals projects. There has to be more where that came from. The United States must push on all fronts to address this truly dangerous strategic vulnerability.

Rare earth materials are crucial for manufacturing cars, smartphones, drones, medical devices, and, most importantly, high-tech weapons. For example, approximately 800 pounds of rare earths go into making a single F-35 fighter jet. Between 2019 and 2022, the Government Accountability Office reports, the United States imported more than 95% of the rare earths it consumed—and overwhelmingly from China.

It would be one thing if we relied on Norway or Canada—both allied nations with whom we have no prospect of military conflict (despite the occasional presidential joking about annexation). Instead, China, an adversary bent on surpassing the United States as a global power, is the country we are most likely to confront in a potentially ruinous war.

This scenario echoes the 1930s, when Imperial Japan imported 80% of its oil from the United States, even as it hurtled toward collision with American forces. Today, we are repeating that dynamic, except without a good reason, and playing the role of resource-starved Japan.

It’s a little like King Harold needing Norman goodwill to supply his men with shields in 1066 or Lord Nelson requiring French materials to build his ships of the line in 1798.

Not so long ago—in 1991—the United States was the biggest supplier of rare earths. Then, China undertook a concerted and highly successful effort to wrest the mining and processing of rare earths out from under us. It handed out tax rebates to boost production, bought a key U.S. rare-earths business, and shipped its equipment to China. Over time, it squeezed out the U.S. rare-earths industry and has maneuvered to maintain its dominance ever since.

This is industrial policy as highly consequential geopolitics.

There is no alternative but to respond in kind, which the Trump administration, to its credit, is now undertaking. According to Treasury Secretary Scott Bessent, the administration will establish a price floor for the domestic rare-earths industry. The Defense Department has taken an equity stake in our largest rare-earths miner, with more such moves anticipated.

Public-private cooperation, akin to what characterized Trump’s Operation Warp Speed, is necessary, along with the relaxation of permitting and environmental restrictions. It will take years to make up lost ground, but with enough resources and staying power, this problem is solvable.

Friendly countries have ample supplies of rare earths. The bigger challenge is processing—the sector where China holds an almost complete monopoly. Processing requires specialized know-how and considerable time to build facilities. Still, this is not a technical or logistical challenge on the scale of, say, the Manhattan Project.

Of all the elements of our post–Cold War vacation from history—when defense spending, geography, and supply chains were no longer considered paramount—the outsourcing of the rare-earths industry to China was the most improvident.

If nothing else, China’s recent use of rare earths as a weapon in trade disputes is a cautionary signal of what could come during a more momentous conflict. We can’t say we weren’t warned.

X: @RichLowry
https://nypost.com/2025/10/20/opinion/depending-on-china-for-rare-earths-is-one-a-dumb-mistake-we-must-correct-pronto/

economy, government, housing, pandemic, relocation

Florida’s housing market was skewed wildly by the pandemic. It’s finally coming to grips with a ‘realistic middle ground’

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Florida’s housing market was one of the hottest during the pandemic, driven by the state’s appeal to remote workers, retirees, and investors relocating from high-cost states like New York and California. These buyers were seeking more space, lower taxes, and lenient COVID restrictions. Between March 2020 and June 2022, home prices in Florida surged by a remarkable 51%.

Demand remained high during this period, which kept inventory levels low. However, Florida’s inventory is now dwindling for a very different reason. Experts say the decline isn’t due to renewed demand, but rather rampant delistings and fewer new listings. According to Zillow data, home prices have dropped about 5.4% year over year.

“Low prices and low demand are making people who aren’t in a hurry simply withdraw listings rather than sell at a low price,” explained Alexei Morgado, a Florida real estate agent and founder of real-estate exam prep company Lexawise, in an interview with Fortune. “Inventory is down, but not because of big sales, but rather because of delistings and slow demand. So it’s all a mixed bag.”

Data from Realtor.com in August highlights this trend. Some parts of Florida saw nearly 60 homes delisted for every 100 newly listed homes. Miami had the highest delisting-to-listing ratio at about 59, followed by Tampa at 33 and Orlando at 28.

Overall, the number of single-family homes for sale in Florida fell from more than 100,000 in the spring to about 96,000 after years of rapid growth, according to Simonsen, founder and president of real-estate analytics firm Altos Research.

This downward trend is a signal that the market is “clearing out” would-be sellers, said Jenna Stauffer, a Florida-based real-estate broker and global real estate advisor for Sotheby’s International Realty. According to Stauffer, those who needed to sell have most likely already done so, even if it meant lowering prices or offering concessions.

Stauffer describes the current pullback as “healthy” because it helps reset home prices and balances supply and demand. “It also shows that sellers are becoming more in tune with market conditions,” she added.

### Is the Florida Housing Market Crashing or Correcting?

While experts acknowledge the major changes occurring in Florida’s housing market, they insist these shifts are not indicative of a crash—a swift and severe decline in prices driven by an imbalance of supply and demand. Instead, the trend of declining inventory reflects a market correction.

“Higher inventory had been putting downward pressure on prices and giving buyers the upper hand,” Stauffer explained. “Buyers had so many options, no urgency, and plenty of time to negotiate.”

Now that inventory is tightening, the market dynamic could start to shift. Buyers may lose some of the leverage they previously held, while sellers could regain “a little” power.

Stauffer emphasized, “It’s not a crash in Florida, but a reset. Sellers have to recognize that this is a different market than a few years ago. Demand isn’t the same and supply isn’t the same. It’s forcing everyone to a more realistic middle ground.”

### What Does This Mean for Buyers and Sellers?

Alexei Morgado advises caution for sellers in the current market. “It may not be the best time to sell your home in Florida,” he said, “but it could be the right time to buy.”

“If you must sell, of course, go ahead,” Morgado added. “But if you can wait, wait. And for buyers: You can get a good price, with lower rates and discounts, so take advantage of that now.”

As Florida’s housing market continues to evolve, understanding these shifts can help both buyers and sellers make informed decisions in an ever-changing landscape.
https://fortune.com/2025/10/20/florida-housing-market-correction-inventory-home-prices-delisting-inventory/

business, economy, finance, regulation, technology

SEC chair Atkins prioritizes innovation in crypto rulemaking

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**SEC’s Evolving Approach to Crypto Regulation: From Enforcement to Innovation**

Enforcement and crackdowns have long characterized the U.S. Securities and Exchange Commission’s (SEC) stance on cryptocurrencies and other digital assets. After years of standoffs, the agency’s new willingness to engage with the crypto industry could mark the start of a genuine experiment in regulatory change.

### A New Priority: Crypto and Tokenization

SEC Chair Paul Atkins has designated crypto and tokenization as the agency’s “job one” priority, signaling a shift toward a pro-innovation stance. This marks a departure from the agency’s previous approach under former Chair Gary Gensler, who primarily relied on enforcement actions. Under Atkins, the SEC appears to be asking a different question: how to let innovation thrive while maintaining effective oversight.

—

### Gensler-Led SEC: Enforcement as Policy

Gary Gensler treated most cryptocurrencies as “securities” and centered his regulatory strategy on aggressive enforcement and litigation. During his tenure, the SEC filed over 125 crypto-related enforcement actions, achieving substantial monetary settlements.

– Approximately 64% of these actions alleged unregistered securities offerings rather than fraud.
– About 37% of these actions were unanimously approved by the SEC Commissioners.

Between late 2020 and 2024, the SEC initiated lawsuits against several high-profile crypto firms, including Ripple (December 2020), Bittrex (April 2023), Coinbase (June 2023), Binance (June 2023), and Kraken (November 2023). These lawsuits primarily alleged violations such as unregistered securities offerings and operating unlicensed exchanges.

Ripple’s Chief Legal Officer, Stuart Alderoty, criticized Gensler’s approach, asserting that he “prejudged crypto” and pursued lawsuits against firms “without investigation,” which stifled the industry’s growth in the U.S.

The enforcement-heavy environment prompted some crypto businesses to exit the market. Even firms registered with the SEC faced challenges staying afloat under such strict regulations.

—

### Atkins-Led SEC: Innovation as Strategy

Following Gensler’s departure in January 2025, Acting Chairman Mark T. Uyeda announced the creation of the Crypto Task Force led by Commissioner Hester Peirce. This task force aimed to adopt a more balanced approach to cryptocurrency and digital assets, moving beyond a sole focus on enforcement.

A significant policy shift occurred in January 2025 when the SEC rescinded Staff Accounting Bulletin (SAB) 121. This move eased barriers for financial institutions offering crypto custodial services.

Since taking office in April 2025, Chair Paul Atkins has guided the SEC toward withdrawing or pausing select crypto lawsuits. In July 2025, the agency launched Project Crypto, an initiative aimed at “modernizing the securities rules and regulations” to enable U.S. financial markets to operate on-chain.

At DC Fintech Week on October 15, Atkins emphasized the goal of building a future-proof crypto framework “to actually attract people back into the United States who may have fled.” By jokingly dubbing the SEC a “Securities and Innovation Commission” during the Forum, he signaled the agency’s innovation-friendly agenda.

—

### Looking Ahead

Ultimately, the SEC under Atkins plans to initiate rulemaking around its “innovation exemption” vision by the end of 2025 or early 2026, depending on developments related to the ongoing U.S. government shutdown. This evolving approach suggests a new era where regulation and innovation might coexist more harmoniously in the crypto landscape.
https://bitcoinethereumnews.com/crypto/sec-chair-atkins-prioritizes-innovation-in-crypto-rulemaking/?utm_source=rss&utm_medium=rss&utm_campaign=sec-chair-atkins-prioritizes-innovation-in-crypto-rulemaking

economy, finance, technology

Weekend Crypto Meltdown: What Happened and Why

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**Historic $19 Billion Crypto Liquidation Rocks Markets Over Weekend of October 10-11, 2025**

Over the weekend of October 10-11, 2025, the cryptocurrency market faced its biggest liquidation event in history. Approximately US$19 billion worth of leveraged trading positions were wiped out within just 24 hours, impacting over 1.6 million traders worldwide.

To put this into perspective, this crash ranks alongside previous infamous events such as the COVID-19 market crash of March 2020 and the FTX collapse. This is a significant moment in crypto history — one that we’ll still be discussing years from now. So, let’s unpack what happened over that turbulent weekend so you can keep up with your crypto mates.

—

### What Does Liquidation Mean?

Before diving deeper, it’s important to note that in the UK, leverage tied to cryptoassets is not permitted. This explanation focuses on what traders abroad—particularly in the USA—are doing that affects Bitcoin’s price globally.

Imagine a USA-based investor wants to buy Bitcoin because they believe its price will rise. They have $100 of their own money but seek to buy more Bitcoin than that would normally allow. They use a crypto trading platform offering loans and borrow $900 more, enabling them to purchase $1,000 worth of Bitcoin. This is called **10x leverage** — controlling ten times more money than they actually own.

The platform agrees, but with a crucial condition:
*“If Bitcoin’s price starts dropping, we’ll automatically sell the investor’s Bitcoin before losses get too large.”*

When things go wrong and Bitcoin’s price drops by 10%, the investor’s $1,000 position is now worth only $900. Since they borrowed $900 and only had $100 of their own money, they have lost everything they invested.

The platform steps in and says:
*“We need to protect our $900. We’re selling your position right now.”*

This forced automatic sale is called a **liquidation**.

**The Result:**
– The investor loses their entire $100 — it’s completely gone.
– The platform recovers their $900 by selling the investor’s position.
– Typically, the platform doesn’t lose money.

—

### The Chain Reaction

Now, imagine millions of traders in similar situations with billions of dollars at stake. When the market starts dropping, it triggers a devastating chain reaction:
1. Prices begin to fall.
2. Thousands of leveraged positions hit their liquidation thresholds.
3. Platforms automatically sell assets to recover loans.
4. This massive selling pushes prices down even further.
5. More liquidations get triggered.
6. The cycle keeps snowballing downhill.

Unfortunately, the severity of such a crash means some traders can lose everything — sometimes even ending up “moving in with their weird uncle” after suffering total losses.

—

### What Triggered This Crash?

The immediate catalyst was geopolitical. On October 10, 2025, President Trump announced 100% tariffs on Chinese imports effective November 1, 2025, alongside export controls on critical software.

Although cryptocurrency is often considered independent of traditional finance, it behaves similarly to a high-risk tech investment. When Trump announced these massive tariffs, investors feared an escalating US-China economic conflict.

As a result:
– Investors sold risky assets such as stocks and crypto.
– They moved toward safer havens like cash, gold, and bonds.
– Crypto prices plunged sharply.
– Leveraged traders began getting liquidated.
– Liquidations accelerated price drops even more.

Markets inherently dislike uncertainty, and a trade war between the world’s two largest economies creates enormous doubt about global economic growth — exacerbating the crypto crash.

—

### The Scale of Destruction

– **Total liquidations:** Over US$19 billion in 24 hours
– **Traders affected:** 1,618,240 people
– **Long positions liquidated:** US$16.7 billion (bets on prices going up)
– **Bitcoin liquidations:** US$1.37 billion
– **Ethereum liquidations:** US$1.26 billion
– **Largest single trade wiped out:** US$87.53 million on one Bitcoin trade

—

### How Leverage Works When Things Go Right

Leverage can amplify profits — here’s a winning example for a USA-based trader:

– Using $100 of their own money and borrowing $900 (10x leverage), they buy $1,000 worth of Bitcoin.
– If Bitcoin rises 10%, their position grows to $1,100.
– After repaying the $900 loan (plus small fees), they keep $200 — doubling their initial $100 investment.

A small move in price can lead to enormous gains.

—

### Leverage When Things Go Wrong

But leverage cuts both ways. The more leverage you use, the faster you can get liquidated:

| Leverage | Own Money | Borrowed | Total Position | Price Drop to Liquidation | Result |
|———-|———–|———-|—————-|————————–|———————————|
| 10x | $100 | $900 | $1,000 | 10% | Lose entire $100, position liquidated |
| 5x | $100 | $400 | $500 | 20% | Lose entire $100, position liquidated |
| 2x | $100 | $100 | $200 | 50% | Lose entire $100, position liquidated |

—

### Who Actually Loses Money?

The trader who uses leverage loses their entire collateral — the money they put in. Most of the time, that’s the only party losing real money.

Exchanges and lending platforms generally don’t lose money because they automatically liquidate positions before losses exceed collateral. They also maintain insurance funds for extreme cases, such as rapid price crashes where selling speed can’t keep up. However, these situations are rare.

The system prioritizes protecting the lender over the trader.

—

### Where We Are Now

Just days before this crash, Bitcoin had been soaring, pushing past $125,000 and setting new all-time highs. The rally was fueled by strong institutional investment through ETFs in the USA and rising concerns about traditional currency devaluation.

As of Monday morning, October 13, 2025:
– Bitcoin is trading around $115,000.
– Ethereum has recovered from approximately $3,400 to about $4,100.

The market is catching its breath after the violent weekend selloff.

If confidence returns, traders may see current prices as a buying opportunity. But if bad news or trade tensions escalate, selling could continue.

There could be sideways movement or a period of relative stability as the market digests recent news. Of course, with crypto’s famous volatility, anything can happen.

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### What We Have Learned

For those new to crypto volatility, this weekend taught us several key lessons:

– **Leverage trading lets traders control far more money than they actually own, but it’s extremely risky.**
– There’s potential for high rewards, but equally high risks — you have to ask yourself how much risk you can live with (or how comfortable you’d be moving in with your weird uncle).
– Even a small price drop can wipe out an entire leveraged investment.
– Despite claims of independence, crypto behaves very much like a high-risk asset tied to traditional market sentiments.
– Leverage trading is like flooring the accelerator pedal in an electric vehicle: you can take off fast, but one wrong move might mean costly crash repairs.
– What traders do overseas, especially USA-based leveraged traders, influences crypto prices worldwide — affecting all traders, even those in countries like the UK where leveraged crypto trading is banned.

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**Stay informed, trade carefully, and always understand the risks before using leverage in cryptocurrency markets.**
https://blog.coinjar.com/weekend-crypto-meltdown-what-happened-and-why-2/