Leverage Descent: Sybill proof OI caps

Leverage Descent: Sybill proof OI caps

In March 2025, a trader opened an oversized short in a low market cap memecoin on Hyperliquid at 20× leverage, then moved the price so the position liquidated into the protocol’s market-maker vault. The vault took millions in losses, and Hyperliquid was forced to override the price oracle. Hmm? Seems like HLP cant close their $JELLY shorts cus their orders got rejected. Maybe this is because OI caps have been hit. Prob worth looking into it ASAP ser @chameleon_jeff @xulian_hl @HyperliquidX h
Leverage Descent: Sybill proof OI caps

Leverage Descent: Sybill proof OI caps

In March 2025, a trader opened an oversized short in a low market cap memecoin on Hyperliquid at 20× leverage, then moved the price so the position liquidated into the protocol’s market-maker vault. The vault took millions in losses, and Hyperliquid was forced to override the price oracle. Hmm? Seems like HLP cant close their $JELLY shorts cus their orders got rejected. Maybe this is because OI caps have been hit. Prob worth looking into it ASAP ser @chameleon_jeff @xulian_hl @HyperliquidX h
Research
Avoiding the unavoidable key compromise

Avoiding the unavoidable key compromise

A few days ago, Ostium was compromised due to access to privileged keys: pricing and execution. This allowed the exploiter to open trades at prices drastically below the market and close them at the market price. After the trade, the funds were immediately withdrawn from the protocol and bridged to Ethereum, resulting in losses of roughly $18 million. There's been a lot of talk about ways to protect against such compromises, from instant settlement to better key security, but most solutions ar
Crypto 101 Research
Points are Live

Points are Live

Today we are launching Perpl's first public phase of our points program, introducing weekly points distributions designed to reward organic trading activity and contributions across the protocol. How to Get Points 4 core activities reward points: * Organic trading activity. * PLP participation (soon). * Referrals (both the referrer and the referree earn points). * Bonus points (tournaments, builder codes, partnerships, IRL events, etc). Weekly Points Distribution * 50,000 total point
Product
We built the perp DEX everyone said was impossible

We built the perp DEX everyone said was impossible

Perps are a solved product with an unsolved infrastructure problem. To build the ideal perps DEX, you need three things at the protocol level: 1. fully on-chain execution 2. a true, granular CLOB 3. low gas + fast updates The problem is that every generation of blockchain infrastructure made at least one of those impossible. * On ETH L1, 12-second blocks meant you couldn't do on-chain matching. So dYdX v2 put the CLOB off-chain and only settled on-chain. Off-chain, one point of failure.
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Understanding liquidations in perp markets

Understanding liquidations in perp markets

Perps take trading to the next level. With leverage, flexibility, and the ability to speculate on ups and downs, more and more traders are jumping into the perp game with the hopes of reaping the benefits. But trading perps comes with risk and one of the most important risks to understand is liquidation. If you’re trading perps, knowing how and why liquidations happen can make or break your trading experience. In this blog we will unpack the mechanics of liquidations, the role of margin trading,
Crypto 101