Flash Loan Attack: Attacker exploits low liquidity to trigger a "suicidal" liquidation, resulting in approximately $1.5 million in losses for Hyperliquid HLP

BlockBeats News, April 9th, according to PeckShield monitoring, attackers established a $15 million Fartcoin long position on Hyperliquid through 4 wallets, then proactively triggered a "suicidal" liquidation in a low liquidity environment, forcing the ADL (Auto-Deleveraging) mechanism to activate. The HLP liquidity pool was forced to take on the toxic assets and incurred bad debt, resulting in a paper loss of approximately $3 million. HLP lost about $1.5 million in the past 24 hours.

PeckShield pointed out that the attacker most likely made early layouts through cross-domain hedging, and the actual net profit may far exceed the paper loss figure.