Lower leverage as positions grow

Bybit CEO Ben Zhou commented on a recent $4 million loss suffered by decentralized exchange (DEX) Hyperliquid due to an Ether whale’s high-leverage trade, noting that centralized exchanges (CEXs) face similar challenges.

On March 12, a crypto investor walked away with $1.8 million and forced the Hyperliquidity Pool (HLP) to bear a $4 million loss after a trade that used leverage on the Hyperliquid decentralized exchange (DEX). 

The trader used about 50x leverage to turn $10 million into a $270 million Ether (ETH) long position. However, the trader…