HyperLiquid

The cryptocurrency market rebounded across the board, with the AI sector leading the rise at 15.82%, and ETH returning above 1600 USD

ChainCatcher news, according to SoSoValue data, Trump announced a suspension of tariffs and a reduction in tax rates for multiple countries. As a result, the cryptocurrency market rebounded across the board, with the crypto sector generally rising about 4% to 15% over 24 hours. Among them, the AI sector led with a rise of 15.82%, with Bittensor (TAO), Fetch.ai (FET), and Render (RENDER) increasing by 15.52%, 15.79%, and 16.71% respectively in 24 hours. Additionally, Ethereum (ETH) rose by 13.77%, breaking through the $1600 mark. Bitcoin (BTC) increased by 7.94%, briefly surpassing $83,000.It is worth mentioning that MAG7.ssi rose by 11.24%, DEFI.ssi rose by 15.92%, and MEME.ssi rose by 13.44%.In other sectors, the DeFi sector rose by 12.43% over 24 hours, with Ondo Finance (ONDO) increasing by 23.87%; the PayFi sector rose by 12.26%, with XRP increasing by 14.13%; the Meme sector rose by 11.87%, with Dogecoin (DOGE) rising by 12.48%; the Layer2 sector rose by 8.91%, with ex-MATIC (POL) increasing by 10.72%; the Layer1 sector rose by 8.52%, with Solana (SOL) and Cardano (ADA) rising by 12.72% and 12.56% respectively; the CeFi sector rose by 5.89%, with Hyperliquid (HYPE) increasing by 16.09%.Meanwhile, the cryptocurrency sector indices reflecting historical market performance show that the ssiAI, ssiDeFi, and ssiRWA indices rose by 16.27%, 13.79%, and 12.97% respectively over 24 hours.

Hyperliquid co-founder responds to concerns about agreement security: Leveraging system and HLP liquidation mechanism have been updated

ChainCatcher message, Hyperliquid co-founder @chameleon_jeff responded on X to concerns that "the Hyperliquid protocol may suffer significant losses due to market manipulation":Hyperliquid's margin design strictly ensures the platform's solvency through mathematical mechanisms, with HLP's losses always limited to its own treasury, and the protocol's operation never relying on HLP------this feature existed prior to the JELLYJELLY incident. The newly added protective mechanisms after the incident only optimize HLP's loss resistance in backup liquidation, and the underlying architecture of the protocol has not changed. In the recent JELLYJELLY incident, an attacker attempted to manipulate HLP (liquidity provider pool) by establishing a massive long and short position on themselves. Although the unliquidated contract limit at that time allowed for the establishment of a position worth 4 million USDC, the logical flaw was that HLP used its entire fund balance as collateral for this liquidation. It should be clarified that the platform itself does not face solvency risks, but HLP did face excessive risk exposure due to market manipulation.Currently, HLP's liquidation component treasury has set a collateral limit, restricting potential losses through the backup liquidation mechanism. Hyperliquid still maintains its original operating mechanism, processing under-collateralized positions in the following order: 1) market liquidation 2) backup liquidation 3) automatic deleveraging (ADL). The current backup liquidation of HLP has added protective mechanisms by setting loss limits, making the cost of manipulating the mark price far exceed the limited gains that can be obtained from HLP.
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