Web3 security red alert: Hyperliquid may be exploited for money laundering, says Salus founder.
Mirror Tang reveals that Chinese authorities cracked 3 laundering cases since March involving Hyperliquid's high-leverage liquidation system.
💡 The method:
1⃣ Create forced liquidations on HL
2⃣ Open reverse positions on CEX
3⃣ Illicit funds "cleaned" via arbitrage
🔁 This mirrors James Wynn’s strategy.
Without proper risk controls, regulatory crackdown is imminent.