The extermination of a more than $ 200 million long trading with Ether (ETH) led to a $ 4 million loss for hyperliquid, in which the “whale” placed the stakes.
The extermination saw the wallet ‘0xF3F4’ opening a highly leveraged 50x length position of ETH, depositing $ 4.3 million USDC as a margin for a total scale of 113,000 ETH.
The purse began to remove the funds, reducing the margin below the maintenance requirements to a move that resulted in a $ 1.8 million income for the user but a $ 4 million loss for the hyperliquid provider (HLP) vault of the hyperliquid.
Vaults are a blockchain-based product on Hyperliquid where users can deposit the USDC to potentially earn a portion of income generated by trading techniques by other users or vault owners.
The motions have created speculation to Hyperliquid users of a possible platform exploitation, a rumor that it named in an X post.
“There is no exploitation of the protocol or hack,” Hyperliquid said. “This user did not realize PNL, withdrawn, lowering their margin, and liquid. They ended ~ $ 1.8m to PNL. HLP’s HLP lost ~ $ 4m in the past 24h. All time PNL of HLP remains at ~ $ 60m. As a reminder, HLP is not a strategy without risk.”
Hyperliquid added that it will update the maximum action for Bitcoin (BTC) and ETH up to 40x and 25x, respectively, to increase margin maintenance requirements for a larger position as a prevention proposal for similar movements in the future.
HLP Vault of Hyperliquid still has an all-time revenue of $ 60 million, data displays. Meanwhile, the platform platform token dropped from $ 14 to under $ 13 to a knee-knee move after destruction, even though it was from fully recovered the short slide in late Asian time.
