CLAM Market Crash Costs Poloniex’s Bitcoin Lenders 16.202% of Their Balance14

Margin lending is a very risky business, regardless of which industry it is performed in. As far as cryptocurrency margin lending is concerned, things are bound to get interesting, albeit not always for the right reasons. Users who had active margin loans on Poloniex a while ago will see a 16.2% haircut. The reason is simple: the CLAM market collapsed for no real reason.

As explained by the Poloniex team on their blog, a very odd market trend affected CLAM. For those who are not familiar with this project, it is a token which was airdropped to Bitcoin holders quite some time ago. It is also one of the few currencies with active margin lending support on Poloniex, at least at that time. The popularity of this market should never be underestimated, as odd as that might sound.

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