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HyperLiquid lets influencers experience blowing up a fund

Author: Content Editor
HyperLiquid, a blockchain and derivatives exchange, is facing criticism after a crypto influencer lost over $1 million in a copy-trading fund on its platform. HyperLiquid allows influencers to create "vaults," which are essentially miniature hedge funds. These vaults trade users' money on crypto pairs, and the vault leaders receive a 10% profit share for managing the fund. However, the influencer, known as Rektober, quickly lost all of the depositors' money. Another vault leader on HyperLiquid, Sifu, has also lost 14% of its users' money in the past month. HyperLiquid has admitted that over 300,000 users have experienced over $17 billion worth of liquidations on its exchanges, and its total value locked has declined by over 29% in the past four weeks.

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