decentralization is an ideal idea

🚨😱 Trader Makes $8 Million by Smartly Exploiting the Platform's System!

These are the things you don't hear about every day... A trader exploited the mechanism of the Hyperliquid platform to force it to liquidate its positions, resulting in a massive price spike and causing a $12 million loss for the liquidity provider (Hyperliquidity Provider - HLP). It was not a hack, it was not illegal, but rather a highly calculated move that exploited the system against itself.

It all started when the trader, using wallet 0xde95, opened a short position on $JELLY. But he didn't stop there—he withdrew the margin from the trade, forcing the platform to automatically liquidate his position to protect itself. As a result, HLP had to buy $4.5 million worth of short positions, causing the price to spike sharply.

And here came the second player in this game, the newly created wallet 0x20e8, which opened a long position on $JELLY at the perfect timing. As HLP's liquidations continued to push the price up, the unrealized profit from this trade skyrocketed to over $8.2 million.

What makes this astounding is that it wasn't just a coincidence; it was a well-crafted trap. By intentionally removing the margin, the trader forced the system to work against itself, driving the price in the direction he had prepared for in advance. Whether the two wallets were connected or not, it doesn't matter.
#Hyperliquid #WhaleMovements