313 · Doug Colkitt - When Crypto Markets Break: Liquidations, Leverage, and Markets Under Stress

In this episode of Chat With Traders, host Ian interviews Doug Colkitt, a quantitative trader specializing in crypto and DeFi market structure. Doug shares his background in high-frequency trading at Citadel and his experiences trading various markets, including Turkish equities and VIX futures. The conversation delves into the mechanics of crypto markets, particularly focusing on the October crypto liquidation event, the role of leverage, funding rates, and forced unwinds. Doug explains his current work in the Perpdex space, discussing ideas around insurance mechanisms, clearing, and market design, and offers insights into how modern markets can break down during periods of volatility.