Today I witnessed the magical realism of the financial world.

On one side, the traditional wealth management platform Zhejiang Financial Asset Exchange (浙金中心) has collapsed with a bang. Multiple financial media outlets have confirmed that the platform is experiencing a severe payment crisis—products are massively overdue, and the app has directly closed its withdrawal channels. The amount of money involved exceeds 20 billion yuan, and nearly ten thousand investors are trapped. Ironically, this institution once earned trust with its state-owned background, but its relevant financial licenses were revoked as early as last year, and its shareholder structure had quietly changed long ago. Now, it is deeply intertwined with the liquidity-stricken Xiangyuan Holding Group, and three related publicly listed companies have urgently issued statements distancing themselves.

On the other side, the crypto world is playing out a completely different script.

The meme coin PIPPIN has surged over 150% in a single day, becoming the market’s new favorite. But the data doesn’t lie—capital inflow has already begun to slow down, and the sentiment indicators in the derivatives market are turning bearish. Is there any real difference between this kind of extreme volatility and reversals, and the collapse of traditional finance? The frenzy is built on fragile narratives and liquidity, and it often only takes a moment for it all to end.

These two seemingly unrelated events teach us the same lesson:

**First, don’t blindly trust any background aura.** The “state-owned platform” label in the traditional world is no different from a “celebrity endorsement” in crypto—it doesn’t guarantee the safety of your money. The truly reliable approach is to look beneath the surface, understand where the funds flow, and grasp the underlying logic.

**Second, high returns always come with high risks.** The annualized yield of Zhejiang Financial Asset Exchange products was only 4%-5%, but they still blew up. In crypto, returns can multiply several times, but the risks are exponentially higher. There’s no such thing as a free lunch—this is a hard rule.

**Third, liquidity is the lifeline.** When a wealth management app closes withdrawals, it’s no different from a crypto “rug pull” or a contract liquidation—the essence is a sudden liquidity crunch. Never put all your assets in one basket, and don’t go all in.

In this environment of rapid narrative shifts, funds will swing violently between panic and greed. If you really want to participate, I suggest focusing on mainstream assets, or early projects with strong community consensus and cultural identity. But remember, markets are volatile, and investing must be rational.

Which do you think is scarier: the seemingly stable landmines of the traditional world, or the open gamble of the crypto world?