NewsBTC
30 March 2025
3 0

Hyperliquid Delists $JELLY Following Suspicious Trading Activity

Hyperliquid, a decentralized crypto exchange, has delisted the meme coin Jelly-my-Jelly ($JELLY) due to suspicious trading activities. This follows a significant price fluctuation of $JELLY, which fell from $0.21 to $0.01 shortly after its launch but surged 400% before the delisting.

Key Events

  • A whale deposited $7M across three Hyperliquid accounts.
  • Two accounts took long positions on $JELLY totaling $4.05M, while a third account shorted $4.1M to hedge.
  • The long trades were liquidated as $JELLY's price rose rapidly.
  • The short position was too large for normal liquidation, leading to settlement in Hyperliquidity Provider Vault (HLP).
  • Hyperliquid restricted withdrawals, prompting the whale to sell remaining $JELLY holdings.
  • The trader withdrew $6.26M, with $900K still held by Hyperliquid.

Criticism and Concerns

Industry leaders criticized Hyperliquid for allegedly causing user losses, drawing comparisons to FTX.

Need for Reliable Solutions

This incident highlights the demand for secure crypto storage solutions. A potential option is Best Wallet, a non-custodial wallet offering enhanced privacy and security features.

Best Wallet utilizes Fireblock’s MPC-CMP technology and offers insurance for assets stored within the wallet. It aims to support over 60 chains and facilitate investments in new meme coins during presale directly through the app.