Why 50–100x leverage guarantees crypto bubbles (and the inevitable crash)

24 Oct 2025 · 1 min

Watch on YouTube

0:30

A YouTube video by Kosta Ouzas arguing that extremely high leverage offered by crypto exchanges (50–100x) guarantees bubbles and subsequent crashes. Speaker claims that unless exchanges stop offering such leverage, bubbles will recur and price crashes are inevitable; places this in the context of derivatives and futures markets.

Exchanges give leverage for a reason, right? That's a clear indicator. So, you know, to say that there'll never be another bubble, the only way for that to happen, in my opinion, would be the exchanges to stop offering leverage completely. Because if exchanges continue to offer 50 to 100x, to say there's not a bubble anymore is insanity. Because if they're offering that, that means price is going to crash. Simple, really. Every, every market I can think of, legacy markets, they all have derivatives, futures.