Analyze the operation of $MYX, hoping to let more people see it and avoid pitfalls.

Let me briefly explain what MYX Finance does. It is an on-chain derivatives exchange focused on perpetual contract trading. When I previously analyzed dYdX, I compared the current rankings of perpetual contract businesses, and MYX didn't rank at all. Therefore, from a value perspective, this project is considered below average. So why has MYX been able to rise from a sideways price of 0.05 to a maximum of 2 dollars in the past few days, with a maximum increase of over 40 times? The answer is simple: highly controlled supply!

MYX currently has a circulation of 124.8 million. The ability to drive up the price indicates that the main force absorbed most of the spot chips while it was horizontal in the price range of 0.05. MYX has only been listed on alpha and secondary exchanges. After accumulating chips, the main force opened a large number of long positions in the contract market, and then controlled the spot price to drive up the price wildly, forcing the counterpart to cover their shorts. Those who short MYX know that for a project like MYX, the total market value is not worth even 2 billion, let alone the current 2 billion. Therefore, they are frantically shorting. However, they overlook that when the spot chips are in the hands of the main force, the price is no longer adjusted by normal market mechanisms.

The biggest weapon of perpetual contracts is the funding rate. When counterparties short the contract, the main force continues to push up the spot price, ensuring that the spot transaction price is always higher than the contract, thus pushing the funding rate to the extreme, which is currently seen at -2% per hour (meaning the short side subsidizes the long side with 2% of the position's funds every hour). The shorts face both unrealized losses on their positions and high funding fees, leaving the initiative completely in the hands of the project party (the main force).

According to the data provided by Surf, the liquidation amount in the past 24 hours has reached as high as 12.84 million, and with unrealized losses and active liquidations, it’s even more. From the capital volume of the liquidated users, it can be judged that they are retail investors. Perhaps many people have already seen a lot of individuals sharing their liquidation loss data. For such projects, the only advice I can give is: don’t touch them! The chips are in the hands of the project party, the data is in the hands of the project party, and the initiative is also in the hands of the project party. What makes you think you can win? I’ll say it again, don’t touch them!