A user of Hyperliquid closed a long position on HYPE worth $16 million and sold 100,000 coins for $4.4 million. Analysts at MLM suggested he may have been hacked.
This wallet closed a $16M HYPE long and sold 100K HYPE ($4.4M) about 11 hours ago:
https://t.co/ySlqJIRzQcThe reason seems to be that his private key was compromised — resulting in a total wipeout: roughly $17M lost from his Hyperliquid account and another $3.1M that was…
— MLM (@mlmabc) October 9, 2025
The cause might have been the compromise of a private key due to phishing or malware. The crypto investor’s account was left empty.
The acquired assets have already been converted into stablecoins USDC and DAI and distributed across several wallets in the Ethereum and Arbitrum networks.
In addition to the funds on Hyperliquid, the suspected perpetrator also withdrew $3.1 million from the Plasma Syrup Vault liquidity pool. This amount in MSYRUPUSDP tokens was moved to a new address.
A user known as Luke Cannon noted that the victim might have lost another $300,000 through related wallets, which the hacker also accessed.
Looks like they were drained on this wallet as well for another ~$300k on mainnet:https://t.co/SMs8U34TNc
— Luke Cannon (@lukecannon727) October 9, 2025
A user with the pseudonym BRVX shared that he lost $700,000 in HYPE in a similar manner a month earlier. He did not understand how he was hacked:
“There was no malicious software, no Discord chats, no Telegram calls, or suspicious email downloads. I was using a Windows computer. I hadn’t touched the wallets for at least a week before the hack. I also have a new Mac, but I haven’t installed a wallet on it yet.”
Back in August, scammers swindled $91 million from a Bitcoin investor using social engineering. In early September, a user of the Venus lending platform on BNB Chain lost assets worth about $27 million due to a phishing attack.