Papertrade Discloses BBO Price Manipulation Risk and ETH Price Volatility on Hyperliquid

iconKuCoinFlash
Share
This is the logo of the coin.
ETH
$2,509.360.52%
AI summary iconSummary
On-chain news reveals that Papertrade has disclosed a risk of BBO price manipulation on Hyperliquid. According to Rune, a report from a community user indicates that two wallets may have targeted Papertrade, triggering up to $20 million in trades and causing ETH price fluctuations of 10–20 basis points. The incident adds to ongoing crypto price news surrounding market stability and exchange security.

ME News reports that on October 11 (UTC+8), crypto trader Rune posted about the price manipulation risks associated with papertrade, noting that papertrade’s official documentation has disclosed that a key protocol-level risk lies in the potential manipulation of Hyperliquid’s BBO (best bid and offer). This risk also extends to the contract economics, exposure controls, operational safeguards, and permission management. Rune also shared a tweet from community user boblob, stating that two wallets appear to have launched an active attack on papertrade, with trades totaling approximately $20 million causing ETH prices on Hyperliquid to fluctuate by 10 to 20 basis points. Boblob emphasized that the current issues with papertrade must be addressed urgently, or they could jeopardize the protocol’s long-term sustainability. (Source: Foresight News)

Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information. Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.