Papertrade’s spread gets picked off
Two wallets used single trades of around $20 million on Hyperliquid to push ETH prices by 10 to 20 basis points, then opened hundreds of millions of dollars in notional long positions on Papertrade. For now, this is only an allegation.
Papertrade uses Hyperliquid’s BBO directly as its execution price. Small limit orders can move the midpoint by one or two ticks without being filled. Once quotes return to normal, those positions worth hundreds of millions of dollars become a source of profit. Without an independent reference price, abnormal quotes can’t be blocked.
Pick a side on ETH: if you dare to open a position on Papertrade before the bug is fixed, reply 1; if you’ll only watch from the sidelines on Hyperliquid, reply 2.
$ETH $HYPE $BTC #Hyperliquid #Papertrade
Two wallets used single trades of around $20 million on Hyperliquid to push ETH prices by 10 to 20 basis points, then opened hundreds of millions of dollars in notional long positions on Papertrade. For now, this is only an allegation.
Papertrade uses Hyperliquid’s BBO directly as its execution price. Small limit orders can move the midpoint by one or two ticks without being filled. Once quotes return to normal, those positions worth hundreds of millions of dollars become a source of profit. Without an independent reference price, abnormal quotes can’t be blocked.
Pick a side on ETH: if you dare to open a position on Papertrade before the bug is fixed, reply 1; if you’ll only watch from the sidelines on Hyperliquid, reply 2.
$ETH $HYPE $BTC #Hyperliquid #Papertrade