#JELLYJELLYFuturesAlert

So, Hyperliquid’s DeFi spot where people trade futures without middlemen. This week, some big-shot trader—think of them as a crypto whale—decided to mess with JELLY, a random memecoin from Solana tied to a social media thing by a Venmo co-founder. The whale threw down a fat short bet, like $6-8 million, saying JELLY’s price would tank. Then, they dumped a ton of it on DEXs to crash the price, scooped it back up cheap, and pumped it hard—sending it up almost 500%.

This totally screwed with Hyperliquid’s system. Their auto-trading vault (HLP) got stuck holding the bag on this short, facing losses up to $13.5 million when JELLY hit a $50 million market cap. If it had kept spiking to $150 million, the whole $230 million vault could’ve been toast. Panicking, Hyperliquid’s team hit the brakes on March 26, kicked JELLY off the platform, and settled everyone’s trades at a dirt-cheap $0.0095—even though it was trading way higher elsewhere. This flipped their loss into a $700k win, and they’re like, “Don’t worry, we’ll refund most of you.”

Binance and OKX jumped in with JELLY futures while this was popping off, making people whisper about some shady rivalry. Hyperliquid’s token, HYPE, took a 20% dip but cooled out later. The whale lost about a mil because they couldn’t cash out fast enough. Some folks are mad, calling it a centralized power grab—like “FTX vibes”—while others are shrugging, saying traders will forget by next week. Hyperliquid’s promising fixes, but it’s a wild reminder that DeFi can get messy fast.