Well-known on-chain investigator ZachXBT recently made a stunning revelation about the trader known as Hyperliquid 50x Whale, highlighting the use of stolen funds for high-risk trades.
Who is the Hyperliquid 50x Whale?
The so-called Hyperliquid 50x Whale attracted attention for making massive leveraged trades on platforms like Hyperliquid and GMX, betting on assets like Bitcoin (BTC), Ethereum (ETH), and Chainlink (LINK). While some speculated about a connection to the North Korean hacker group Lazarus, ZachXBT dismissed these claims, identifying the trader as a cybercriminal using stolen funds.
Hyperliquid Whale’s Risky Bets
This trader is taking high-risk trades with leverage between 25x to 50x. On March 16, the whale deposited 2.5 million USDC into Hyperliquid, leveraging a 40x short BTC position, holding 4,422.77 BTC at a price of $84,043 with a liquidation point at $85,596. Trader CBB tried to [push the whale into liquidation](https://x.com/Cbb0fe/status/1901690197533999524). The whale also made high-stakes bets on ETH and LINK, opening a $45.17 million ETH short on March 13, and a $31 million long position in LINK.
Closing Positions and Their Impact
According to Lookonchain, the analytical platform, the trader closed all positions, securing a $9.46 million profit in 8 days. However, such actions also caused market instability, leading Hyperliquid’s liquidity pool to lose $4 million during a massive liquidation event. The crypto community debates whether exchanges should block such accounts or authorities should intervene.
The revelation about Hyperliquid 50x Whale’s activities raises questions about market security, prompting discussions on potential actions against cybercriminals and implementing stricter control measures.
