One of the remarkable developments of the crypto money market was that the Hyperliquid platform removed the Jellyjelly token from the list. This decision caused question marks on allegations of decentralization, causing Hyperliquid’s local tokene Hype to lose value. Arthur Hayes, one of the founding partners of Bitmex, criticized this move in a harsh language and aroused doubts about the transparency and decentralized structure of the platform.

Hard Criticisms from Arthur Hayes

Hyperliquid’s decision to lift the Jellyjelly token, led to a major debate by market players. Arthur Hayes, in a statement on social media accounts Hyperliquid’s allegations of decentralization did not reflect the truth and this decision damages the reliability of the platform, he said. Immediately after this development, Hyperliquid’s Hype token depreciated by 12 percent.

Hyperliquid officials, in a official statement, the technical updates on the platform will be commissioned, he said. However, the cautious attitude of market participants drew attention. Many trades, the fluctuations on the platform to control more transparency and stability should be provided, he added.

Coordinated attack and 20 million dollars of TVL loss

After the removal of the Jellyjelly token, a serious cyber attack on Hyperliquid took place. Analysis on the chain revealed a coordinated attack on the safes of the platform. The price of the breast coin Jellyjelly, manipulated by strategic trading moves, increased by 500 percent in a short time and created a major fluctuation in the markets.

The attackers manipulated the market with high -volume purchase waves after creating an open short position (Short) of $ 4.08 million. This move caused a $ 20 million loss of Hyperliquid’s total locked asset value (TVL). In addition, with the great shots, it was interpreted that the platform was about to collapse.

In an official statement, Hyperliquid said that the decision to remove Jellyjelly futures (PERPS) was aimed at this harmful reduction and promised compensation to the affected users. However, after the development, there was a 140 million USDC output from the platform, which enlarged question marks about the future of Hyperliquid.

Regulation pressure is increasing

Although Hyperliquid introduces itself as an unad of decentralized stock market, experts in the industry argue that it is not true. Bitget CEO Gracy Chen, Hyperliquid’in KYC/AML procedures operating without a, unprinted central stock exchange, he said.

Following these events, regulation pressures against Hyperliquid are expected to increase. The platform, which has experienced similar liquidity events in the past, will have to strengthen its security and risk management strategies in order to provide long -term reliability. Experts predict that more strict arrangements are on the road so that such events are not repeated.