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‘Largest Ever’ Crypto Liquidation Event Wipes Out 6,300 Wallets on Hyperliquid



More than 1,000 wallets on Hyperliquid were completely liquidated during the recent violent crypto sell-off, which erased over $1.23 billion in trader capital on the platform, according to data from its leaderboard.

In total, 6,300 wallets are now in the red, with 205 losing over $1 million each according to the data, which was first spotted by Lookonchain. More than 1,000 accounts saw losses of at least $100,000.

The wipeout came as crypto markets reeled from a global risk-off event triggered by U.S. President Donald Trump’s announcement of a 100% additional tariff on Chinese imports.

The move spooked investors across asset classes and sent cryptocurrency prices tumbling. Bitcoin briefly dropped below $110,000 and ether fell under $3,700, while the broader market as measured by the CoinDesk 20 (CD20) index dropped by 15% at one point.

The broad sell-off led to over $19 billion in liquidations over a 24 hours period, making it the largest single-day liquidation event in crypto history by dollar value. According to CoinGlass, the “actual total” of liquidations is “likely much higher” as leading crypto exchange Binance doesn’t report as quickly as other platforms.

Leaderboard data reviewed by CoinDesk shows the top 100 traders on Hyperliquid gained $1.69 billion collectively.

In comparison, the top 100 losers dropped $743.5 million, leaving a net profit of $951 million concentrated among a handful of highly leveraged short sellers.

The biggest winner was wallet 0x5273…065f, which made over $700 million from short positions, while the largest loser, “TheWhiteWhale,” dropped $62.5 million.

Among the victims of the flush is crypto personality Jeffrey Huang, known online as Machi Big Brother, who once launched a defamation suit against ZachXBT, losing almost the entire value of his wallet, amounting to $14 million.

“Was fun while it lasted,” he posted on X.

Adding to the uncertainty, the ongoing U.S. government shutdown has delayed the release of key economic data. Without official indicators, markets are flying blind at a time when geopolitical risk is rising.