Hyperliquid Leads $10B Liquidations: Call for Regulatory Probe
Hyperliquid faced criticism after $10 billion worth of positions were liquidated during the recent crash, prompting calls for regulatory scrutiny.
Regulators should look into the exchanges that had most liquidations in the last 24h and conduct a thorough review of fairness of practices.
Kris Marszalek, CEO of Crypto.com, made this statement, while Jeff Yan, CEO and Co-Founder of Hyperliquid, deemed the claims "irresponsible", citing transparency as the reason for the high liquidation numbers.
- Most positions were forcefully closed to keep the platform debt-free.
- Leaders advocate for better use of insurance funds to safeguard traders' capital.
Author's summary: Hyperliquid's $10B liquidation sparks regulatory debate.