FlyingTulip, or FT, recorded only about $50,000 in liquidations during its first major market pullback, Sonic co-founder Andre Cronje said on June 6. He said the derivatives platform avoided heavier forced unwinds because it uses an equity-account lending model, net risk calculation and a soft liquidation mechanism. In his view, a traditional LTV-based system could have led to liquidations 10 to 20 times larger. The remarks point to how trading venue design can shape market stress outcomes, with softer liquidation frameworks intended to reduce abrupt position closures during volatility.