Crypto Market Crash on October 11, 2025: Situation Overview🗓Timeline of Events→ 14:00 UTC (October 10): Intensified selling of BTC.→ 16:50 UTC: Trump publishes announcement about tariffs, BTC falls to ~$113,000, ETH to ~$3,050.→ 17:00–21:00 UTC: Leverage liquidations, altcoins weaken.→ 21:14 UTC: Collateral assets depeg on Binance (USDe to $0.65, wBETH over 90% down, BNSOL to $0.13). Altcoins reach lows (e.g., ATOM to $0.001).→ 21:20–22:10 UTC: Surge in liquidations on Binance, contagion spreads. Total liquidations exceed $19B.💥Attack VectorBinance used USDe, wBETH, and BNSOL as collateral for its spot quotes instead of oracles, creating a vulnerability.On October 6, it announced a switch to oracles starting October 14, leaving a window open.→ Manipulators dumped 60–90 million USDe, crashing its rate to 0.65 (versus 1 on other exchanges), which wiped out margins and triggered $500M–1B in liquidations. Panic was amplified by news of Trump's 100% tariffs on China.— Liquidations on Binance led to mass sales of BTC, ETH, and altcoins on thin order books.— Other exchanges began mirroring the drop through bots and cross-market algorithms.— Market makers hedging across multiple platforms were forced to dump positions.Result: over $19B in global liquidations.🏆 WinnersCrypto whale Garrett, ex-head of BitForex, linked to a wallet with 100,000 BTC ($10B+), opened a large Short position on Hyperliquid 30 minutes before Trump's tariff announcement triggered the Friday market crash, profiting exactly $192M.On X, he confirmed his identity and wallet connections, while denying any insider ties to the Trump family.Now Garrett is again in bearish positions on BTC and ETH totaling $163M+.💨Victims⦁ ABC, a leading market maker on Hyperliquid, lost over $35M today, wiping out 73% of its account.It typically accounts for 20-25% of Hyperliquid's total volume.⦁ Cyantarb, a market maker, was forced to close a ~$100M position and lost $18-19M.⦁ Selini Capital, a hedge fund, had three positions liquidated totaling $50-70M, with $16M lost overnight. It's among the top losers on Hyperliquid.⦁ Quotes for coins like ATOM, RVN, and IOTX approached zero on perpetuals.⦁ Over 1.6M accounts were liquidated, including $16.6B in long positions.⦁ Reputational damage to exchanges due to the perpetuals mechanism – Auto-Deleveraging (ADL), which force-closes profitable positions (starting with the most profitable and risky) to cover bankruptcy losses.Criticism targets Hyperliquid (ADL affected 0.5–1% of positions, sparking outrage among winning shorts), Binance/OKX/Bybit (for activating ADL without warnings), and Lighter (for lacking ADL, leading to full deposit losses or platform shutdowns).🔖 ConclusionThe market endured the largest cascade of liquidations, but quotes for major cryptocurrencies are already recovering.Binance's actions: Acknowledged the issues, compensation for affected users, and accelerated oracle integration with minimal price thresholds.This results in a market reset.Leverage has been cleared, funding rates normalized, and liquidity reduced, making assets more sensitive to volume.