$HYPE $ETH
Trader nets $1.28 million on new 1,000x exchange Papertrade by moving Hyperliquid's ETH prices
Recently launched exchange Papertrade said it is tightening open interest caps after what it called overnight manipulation attempts against its Hyperliquid-based price feed.A wallet made about $1.28 million on Papertrade within hours of the high-leverage exchange’s Saturday launch by pushing ETH prices on Hyperliquid while holding large Papertrade positions, onchain trading data shows.
Papertrade said the manipulation attempts were possible because its launch-period open interest caps were loose, and that it has started tightening them.
The same wallet lost $450,000 when 30 short positions were liquidated on Saturday night after staying open for more than three hours, reducing its prior gains.
A trader made about $1.28 million on Papertrade, a perpetuals exchange built on Hyperliquid
HYPE+0.61%
that offers up to 1,000x leverage on trades, within hours of its Saturday launch by moving ETH prices on Hyperliquid, according to The Block's review of Hyperliquid trading data and Papertrade's own account records. Papertrade said on Sunday it is tightening limits on open positions in response to the trades, first flagged by X users.
Papertrade went live at 10 a.m. ET Saturday on HyperEVM, the smart contract layer of Hyperliquid's blockchain. The high-leverage exchange prices every trade at the midpoint of Hyperliquid's current best bid and offer, and takes the other side of each position through a shared USDC pool funded by trader losses, while losing traders earn the protocol's PAPER token.
The wallet, 0x2025...840e, repeatedly opened large positions on Papertrade, then bought or sold thousands of ETH
ETH+1.02%
on Hyperliquid, moving that reference price, before closing, according to Hyperliquid and Papertrade data reviewed by The Block. Between 6:01 p.m. and 6:02 p.m. ET on Saturday, it bought about 6,060 ETH on Hyperliquid as the price rose roughly $3, or 0.12%. At 6:03 p.m., it sold about 5,210 ETH and the price fell about $3.50.
Trader nets $1.28 million on new 1,000x exchange Papertrade by moving Hyperliquid's ETH prices
Recently launched exchange Papertrade said it is tightening open interest caps after what it called overnight manipulation attempts against its Hyperliquid-based price feed.A wallet made about $1.28 million on Papertrade within hours of the high-leverage exchange’s Saturday launch by pushing ETH prices on Hyperliquid while holding large Papertrade positions, onchain trading data shows.
Papertrade said the manipulation attempts were possible because its launch-period open interest caps were loose, and that it has started tightening them.
The same wallet lost $450,000 when 30 short positions were liquidated on Saturday night after staying open for more than three hours, reducing its prior gains.
A trader made about $1.28 million on Papertrade, a perpetuals exchange built on Hyperliquid
HYPE+0.61%
that offers up to 1,000x leverage on trades, within hours of its Saturday launch by moving ETH prices on Hyperliquid, according to The Block's review of Hyperliquid trading data and Papertrade's own account records. Papertrade said on Sunday it is tightening limits on open positions in response to the trades, first flagged by X users.
Papertrade went live at 10 a.m. ET Saturday on HyperEVM, the smart contract layer of Hyperliquid's blockchain. The high-leverage exchange prices every trade at the midpoint of Hyperliquid's current best bid and offer, and takes the other side of each position through a shared USDC pool funded by trader losses, while losing traders earn the protocol's PAPER token.
The wallet, 0x2025...840e, repeatedly opened large positions on Papertrade, then bought or sold thousands of ETH
ETH+1.02%
on Hyperliquid, moving that reference price, before closing, according to Hyperliquid and Papertrade data reviewed by The Block. Between 6:01 p.m. and 6:02 p.m. ET on Saturday, it bought about 6,060 ETH on Hyperliquid as the price rose roughly $3, or 0.12%. At 6:03 p.m., it sold about 5,210 ETH and the price fell about $3.50.