the key is a bitCNY holder can buy any volume at the same price.
imagine bitCNY can peg at rate 1:1 now
1. somebody collect 200K bitCNY first
2. ask for settlement
3. after about 22 hours, before the settlement be executed, he sell 200K CNY at BTC38, maniuplate the price down
4. waitting the settlement execute
if exchange like BTC38 do this, it's more easy.
shorters will found, they always be sold at a low price
it's not because they are unlucky, it's because the stupid rule.
this will loop again and again, until all bitCNY short position be settlement and no more stupid shorter continue the game.