How Quickly Can an Exchange Typically Replenish a Depleted Insurance Fund?

The replenishment speed depends on market conditions and the exchange's trading volume. In a volatile but stable market with many liquidations that close above the bankruptcy price, the fund can replenish relatively quickly from the residual margin.

However, after a major crash, replenishment can be slow, as trading volume might drop and subsequent liquidations are more likely to result in deficits. Exchanges may also inject their own capital to speed up the process.