Crypto markets suffered a $20B drawdown yesterday after Trump's surprise tariff announcement, which spiralled into one of the most severe 1-day drawdowns in all of crypto's history Many have asked how @DriftProtocol's risk engines performed, and I want to highlight how Drift has always puts users first and handles risk and liquidations differently from other exchanges: 1. Drift does not have an ADL (auto-deleveraging system) - it has a risk waterfalling system to socialize losses among everyone remaining in positions pro rata by size. Yesterday, the vAMM reserves and insurance fund successfully covered all user losses, so no positions were deleveraged 2. Drift also has one of the largest Insurance Fund to Open Interest ratios across all Perp DEXes with $50m to support $500m+ in open interest, giving a huge buffer for the protocol to support bad debt 3. Even though we are a cross-collateralised exchange, our risk engine managed to do $76m in liquidations with no user losses 4. Solana and Drift experienced zero downtime, with Solana crushing it with record TPS yesterday of 3200+. 5. Drift's fee pools covered all losses, and there was no bad debt incurred for users. It’s been a challenging day for the industry, but moments like this underscore the importance of robust design for exchanges that always puts users first Up

Breaking down what "capital-efficiency" means on Drift I've been trading in capital and crypto markets for nearly a decade, and the universal principles are all the same: to always be maximising yield on holdings & minimizing your cost of capital. Since day one, Drift's core focus has been building products that are capital-efficient and can generate sustainable wealth for our users. I want to dial in on what "capital efficiency" actually means: 1. Capital never sits idle Drift automatically generates yield from its borrow/lend platform on your idle capital. When you use capital as collateral for trading, it still continues to earn yield. Take syrupUSDC as an example: deposit it to trade perps and you'll continue earning ~12% APY even while holding your BTC long. It simply maximizes returns across the board. USDC earns you 8%+, which you can benefit from whether or not you're in a trade. 2. Cross-collateral flexibility Drift is one of the few platforms in all of crypto offering any asset as collateral. Deposit any of the 40+ supported collaterals to trade in any perp market we offer. If you're long-term bullish on SOL but want to trade BTC price movements on other platforms, you'd have to exit SOL → USDC → BTC, losing your SOL upside. On Drift, you stay exposed to SOL's potential while trading market swings across other (BTC) markets. 3. Zero-fee markets Two of our leading markets, BTC and ETH are now zero fees! A trader with just $1,000 can open $100k positions multiple times daily, trading millions in monthly volume on BTC/ETH markets, and would still pay $0 in fees. 4. Up to 101x leverage We offer 101x leverage on our leading markets (SOL, ETH, BTC), giving traders flexibility to trade with massive conviction. Drift democratizes leverage for traders of all sizes -- you need less than $1,500 to trade 1 full Bitcoin on Drift. 5. Unique Trading Setups There are many unique opoprtunities that are enabled by our capital-efficient market structure, such as arbitraging funding rates, running delta-neutral strategies, cross-platform lending, and looping strategies. For instance, you can run a delta-neutral trade by just depositing spot BTC and short BTC-PERP against it, capturing a funding rate. Our recent syrupUSDC listing with @maplefinance perfectly illustrates this, where traders are now using syrupUSDC as collateral across 50+ markets while accessing THREE yield sources: - Underlying stablecoin yield - Lending/borrowing yield on Drift - Share of $100k incentive pool This is our broader mission: unlocking capital-efficient, yield-accretive pathways for DeFi users onchain. The Future As competition increases, users win and innovation accelerates. The Drift team is heads-down building the best trader experience, building in public from the heart of capital markets' future - on @Solana. - Cindy

Introducing Drift Institutional – A new chapter in Solana DeFi Today, we are launching Drift Institutional to work with large institutions, bringing their real-world assets on-chain. What, and why now? Institutions are here. The early years of blockchain innovation were spent building rails. The next few will be spent bringing real world assets on-chain and integrating them within DeFi rails. One market is ripe for tokenization: Private credit is a $2T+ market, compounding faster than equities and offering the highest risk-adjusted yields across any asset class. However, traditional credit facilities demand huge commitments, structuring and bring challenges: • Accessibility: Historically gated to only UHNWIs and family offices • Time to Liquidity: Long lock-ups and limited capital mobility • Capital Efficiency: Difficult to finance or rotate across fund positions To address this, we're launching Drift Institutional: our most ambitious product yet. Built for institutional capital, Drift Institutional is a white-glove gateway for credit funds, real estate, commodities, and more to access onchain liquidity with regulatory confidence and Solana-native speed. Our First Product: A Credit Facility for Tokenised ACRED As a part of this launch, Drift is launching a levered strategy for ACRED, the tokenized version of an Apollo-managed $1B multi-asset credit fund using Securitize’s sToken vault technology. Apollo is a $750B global asset manager focused on alternative assets, and ACRED is their flagship credit fund. This collaboration bridges TradFi and DeFi by increasing the utility of tokenized securities on-chain, offering potentially enhanced yields currently unavailable in TradFi formats This Institutional Pool is the first institutional product live on Solana DeFi. It enables a leveraged strategy using ACRED as collateral. Verified ACRED token holders will be able to borrow stablecoins onchain against their ACRED fund positions via Drift Borrow/Lend, access automated vault strategies via Drift Earn, and interact with liquidity directly on Solana without compromising on compliance, transparency, or capital efficiency. For the first time, tokenised private credit can be used as onchain collateral – unlocking financing and enabling trading on top of it. The next era of DeFi is capital-efficient, compliance-first, and institutionally native. Drift is Institutional DeFi. The age of Institutional DeFi is here!