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Hyperliquid Drama: The Oracle Incident

Analysis of the controversial Hyperliquid exploit and their response.

·1 min read·16 views

there's little bit drama with HL which is considered one of the main promising dex'es currently

a trader opens a massive $8m short on Hyperliquid, then pumps the price and forces HLP to liquidate/absorb his position (with little cost to him as he removes most of his margin)

to fix it, HL force adjusts the oracle price to a fraction of the assets real price. good because it stops the "exploit", bad because it's not a very decentralized thing to do.

best writeup i saw can be found here: https://x.com/0xAbhiP/status/1904937963936768067


my thoughts: hl good asset, if you get a cheap enough entry then its defo worth buying

if bull market continues, hl continues doing a ton of dex volume so it's a good horse to bet on

i think they ultimately did the right thing in this situation (even if it's controversial, kinda like eth rollback back in the day)

H

Hans

obsessed with tech

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