One failure of FTX and BlockFi is that users had no way to ensure that the centralized custodian was not running off with their on-chain deposits by directing them into unsound deposits. Vitalik is suggesting a cryptographic mechanism here that would provide better transparency as to on-chain activity of a CEX.
Day traders want to trade, no matter how much you try to tell them their trades are fictional or "have no use cases."
Day traders want to trade, no matter how much you try to tell them their trades are fictional or "have no use cases."