Submitted by 0x52, also found by hansfriese and noot
User can abuse how stop losses are priced to open high leverage trades with huge upside and very little downside.
When closing a position with a stop loss the user is closed at their SL price rather than the current price of the asset. A user could abuse this in directional markets with high leverage to make nearly risk free trades. A user could open a long with a stop loss that in $0.01 below the current price. If the price tanks immediately on the next update then they will be closed out at their entrance price, only out the fees to open and close their position. If the price goes up then they can make a large gain.
Take profit and stop loss trades should be executed at the current price rather than the price specified by the user:
TriHaz (Tigris Trade) disputed and commented:
Alex the Entreprenerd (judge) commented:
