What Is a ‘Flight to Quality’ and How Does It Affect Crypto Derivatives?

A 'flight to quality' is a financial market phenomenon where investors rapidly shift their capital from perceived risky assets to safer investments during a period of market turmoil. Following a security breach in a PoA network, capital would likely flee the affected cryptocurrency and its derivatives.

This would cause the price of the affected asset to crash, while potentially increasing the value of derivatives tied to more established, secure assets.