A cryptocurrency whale made at least $6.26 million profit on the Jelly my Jelly (JELLY) memecoin by exploiting the liquidation parameters on Hyperliquid, Cointelegraph reported on March 27. The exploit was the second major incident on the platform in March, noted CoinGecko co-founder Bobby Ong.“$JELLYJELLY was the more notable attack where we saw Binance and OKX listing perps, drawing accusations of coordinating an attack against Hyperliquid,” Ong said in an April 3 X post, adding:“It’s clear that CEXes are feeling threatened by DEXes, and are not going to see their market share erode without putting on a fight.”DEX growth reshapes derivatives marketHyperliquid is the eighth-largest perpetual futures exchange by volume across both centralized and decentralized exchanges.
Related: Polymarket faces scrutiny over $7M Ukraine mineral deal betAs of March 27, the unknown whale still held 10% of the memecoin’s total supply, worth nearly $2 million, despite Hyperliquid freezing and delisting the memecoin, citing “evidence of suspicious market activity” involving trading instruments.
According to Bitget Research analyst Ryan Lee, the incident may harm user confidence in emerging decentralized platforms, especially if actions taken post-exploit appear overly centralized.“Hyperliquid’s intervention — criticized as centralized despite its decentralized ethos — may make investors wary of similar platforms,” Lee said.
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Author / Journalist: Cointelegraph by Zoltan Vardai
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