Madcap Trader’s $333M Bitcoin Gamble: A Wodehousian Tale

In the latest turn of events that would make even the dullest of country squires sit up and take notice, the notorious Hyperliquid trader, known for causing more commotion than a fox in a henhouse, has returned to the scene with a short on Bitcoin that would make Jeeves blink.

Word on the street, via the ever-so-reliable Simononchain and the mysterious X, is that a certain wallet, with the rather unromantic tag of “0xf3f4…057c,” has placed a rather substantial bet of $333.9 million on Bitcoin going down the tubes, using a leverage that would make a conservative investor faint dead away—40x, no less.

Our intrepid trader, with the boldness of a man ordering plover’s eggs for breakfast, entered the fray at $84,040.80. But as luck would have it, Bitcoin is now trading at $84,294, leaving our hero down a cool million in the most theoretical of losses. 😅

This is the very same chap who, in a previous escapade, executed a 50x ETH long position with the nonchalance of a man ordering a round of drinks at the club. And with a mere $4.3 million in margin, no less!

Displaying the sort of cunning that would make a card sharp envious, the trader withdrew funds in such a way as to trigger an auto-liquidation event, leaving Hyperliquid’s HLP Vault with a $4 million hole while the trader skipped away with a $1.8 million profit. 🏃‍♂️💨

After the dust settled, many a user was convinced the platform had been compromised, but Hyperliquid was quick to assure everyone that “There was no hack or exploit involved.” Just a bit of a spot of bother, really.

In response, the platform beefed up its margin rules, introducing a 20% margin requirement and reducing leverage limits to 40x for Bitcoin and 25x for Ethereum. But lo and behold, here comes our trader again, ready to test those new rules with a capital T.

As it stands, the trader is teetering on the brink, with a margin usage at 111%. One might say they’re dancing on the edge of a cliff, and a strong wind could send them plummeting into the abyss. 🌬️💥

Should this grand experiment go awry, it won’t just be the trader left holding the bag; the whole market might feel the pinch. And with Hyperliquid’s HLP Vault holding a tidy sum of $450 million, the last $4 million loss was but a mere trifle. But this new venture? Well, that’s a different kettle of fish altogether. 🐟🍳

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2025-03-15 19:22