The event unfolded as follows: After XPL was launched on Hyperliquid, the trader spent more than two days slowly accumulating long orders of approximately $30.00 million USD through small-amount strategies of $44,000.00 USD per order. In the early hours of August 27th, while preparing to establish the final $5.00 million USD position, due to excessive fatigue, the order placement speed was mistakenly increased by 10 times, causing the single transaction amount to surge to $444,000.00 USD.

Due to the insufficient depth of the Hyperliquid platform, this large order immediately triggered a surge in the price of XPL, and the chain reaction caused thousands of hedging accounts on the platform to be forcibly liquidated, involving an amount of up to $159.00 million USD. Unexpectedly, the trader found that his long position was in an automatic deleveraging protection state during the panic liquidation, and ultimately not only did not lose money but also profited $38.00 million USD.

[Techflow]