On-chain data shows that a sharp drop in XPL triggered a chain liquidation of long positions and left Hyperliquid’s HLP vault with an estimated loss of about $556,000. Before the sell-off, 16 wallets funded through centralized exchanges had been building XPL long exposure since Oct. 29, accumulating roughly 269 million XPL with a notional exposure of about $23 million. Of those, funds for 14 wallets were transferred through Binance around two months earlier, while 12 wallets withdrew about 2.02 million USDC before the price decline to reduce margin exposure. As XPL fell quickly from $0.086431 to $0.069429, the liquidation process forced the HLP vault to take over about 160.39 million XPL in long positions at an average entry cost of $0.07592, with a notional value of about $12.18 million. The vault later closed the position at $0.0725, resulting in the reported loss.
According to ChainCatcher, on-chain data shows that a sharp drop in XPL led to an estimated loss of about $556,000 for Hyperliquid’s HLP vault.
Before the move, 16 wallets funded through centralized exchanges had been steadily building XPL long positions since Oct. 29. Together, they held about 269 million XPL, representing roughly $23 million in notional exposure.
Among them, funds for 14 wallets were transferred through Binance around two months earlier. In addition, 12 wallets withdrew about 2.02 million USDC before the price decline in order to reduce margin exposure.
XPL then fell quickly from $0.086431 to $0.069429, triggering a chain liquidation of long positions. After the liquidations, the HLP vault was forced to take over about 160.39 million XPL in long exposure at an average holding cost of $0.07592, with a notional value of about $12.18 million.
The HLP vault eventually closed the position at $0.0725, booking a loss of about $556,000.
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