Soo... who pays who?
Initially thought RogerV invested $30M into CoinFLEX (they were pretty much a no name prior). Now I'm thinking CoinFLEX paid or promised to pay RogerV $30M to "access" Bitcoin.com userbase. Hence RogerV's tweet that CoinFLEX owe him alot of money.
What about the individual negative -$47M position on the Exchange? RogerV doesn't come across as someone that would be "day trading" let alone day trading on CoinFLEX. The "individual agreement" between him and CoinFLEX is likely that he deposit BCH to provide CoinFLEX with BCH liquidity (they are the biggest BCH<->sBCH bridge) and in return he gets "loaned" whatever the USDC value of BCH at the time + he has to pay interest.
If market goes up or stays the same. Everyone wins. CoinFLEX gets the loan interest and RogerV gets to deploy that loan capital somewhere else.
Looks to me like RogerV also catered for market going down, hence the "you can't liquidated the BCH position" clause as this could further cause downward spiral pressure. Things would still be Rosy if RogerV continues to post more collateral.
So why would RogerV stop posting collateral? Depends on the collateral. Not uncommon for whales to be Crypto rich but USD poor (ie illiquid assets). So why wouldn't Roger post more Crypto collateral? Maybe there's writing on the wall. Maybe CoinFLEX business is not sustainable. Maybe CoinFLEX is getting chicken feet and in attempt to recover cost is secretly selling BCH on binance causing price to go down further. Meaning, the more collateral RogerV post the MORE he'll LOSE. Especially if you are a long term investor.
This is one possible scenario where both RogerV and MarkL tweets are both true.
At the end of the day, who's right or wrong all depends on the individual agreement contract between RogerV and CoinFLEX.
Anyways, I welcome this period of uncertainty. Its brings price lower and allows me to restash by BCH. Lost half of my BCH stash playing with perpetuals on FTX. Luckily didn't post the other half of my BCH as collateral otherwise would have lost everything. LOL.
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