Bybit CEO on ‘brutal’ $4M Hyperliquid loss: Lower leverage as positions grow

Q: How long will it take to read this news story?

The story "Bybit CEO on ‘brutal’ $4M Hyperliquid loss: Lower leverage as positions grow" has 443 words across 19 sentences, which will take approximately 2 - 4 minutes for the average person to read.

Q: Which news outlet covered this story?

The story "Bybit CEO on ‘brutal’ $4M Hyperliquid loss: Lower leverage as positions grow" was covered 12 hours ago by Coin Telegraph, a news publisher based in United States.

Q: How trustworthy is 'Coin Telegraph' news outlet?

Coin Telegraph is a fully independent (privately-owned) news outlet established in 2013 that covers mostly crypto news. The outlet is headquartered in United States and publishes an average of 936 news stories per day. It's most recent story was published 8 hours ago.

Q: What do people currently think of this news story?

The sentiment for this story is currently Neutral, indicating that people are not responding positively or negatively to this news.

Q: How do I report this news for inaccuracy?

You can report an inaccurate news publication to us via our contact page. Please also include the news #ID number and the URL to this story.<ul><li>News ID: #26944258</li><li>URL: https://beamstart.com/news/bybit-ceo-on-brutal-4m-17418593638674</li></ul>

Coin Telegraph 12h ago

Bybit CEO on ‘brutal’ $4M Hyperliquid loss: Lower leverage as positions grow - Coin Telegraph

Quick Summary:

The Bybit CEO added that even the lowered leverage capabilities could still be “abused” unless the DEX implements risk management measures such as surveillance and monitoring to spot “market manipulators” on the same level as a CEX. Related: Crypto trader gets sandwich attacked in stablecoin swap, loses $215KHyperliquid sees $166M net outflowFollowing the liquidation event of the ETH whale and the losses the HLP Vault suffered, the protocol experienced a massive outflow of its assets under management.

On March 12, a crypto investor walked away with $1.8 million and forced the Hyperliquidity Pool (HLP) to bear a $4 million loss after a trade that used leverage on the Hyperliquid decentralized exchange (DEX). The trader used about 50x leverage to turn $10 million into a $270 million Ether (ETH) long position.

Bybit CEO Ben Zhou commented on a recent $4 million loss suffered by decentralized exchange (DEX) Hyperliquid due to an Ether whale’s high-leverage trade, noting that centralized exchanges (CEXs) face similar challenges.