Crypto Investor Suffers $25M Loss Following High-Leverage Trade
High-stakes crypto trader James Wynn has suffered a $25 million loss after a highly leveraged Bitcoin position was liquidated, according to blockchain analytics platform Lookonchain.
On June 4, Wynn’s position—amounting to 240 BTC—was forcibly closed after the price of Bitcoin neared his liquidation threshold, despite his attempts to adjust the margin manually. The liquidation reportedly occurred at around $104,883 per BTC. Although Wynn still retains 770 BTC, currently valued at over $80 million, data from Hypurrscan shows he is carrying nearly $1 million in unrealised losses on that position.
Following the liquidation, Wynn voiced concerns on X (formerly Twitter), suggesting that the market had been manipulated to force his position out. Despite this setback, along with a separate $100 million loss and a failed $1.25 billion long just days earlier, Wynn has resumed trading aggressively.
Reports indicate that he has already entered another $100 million long position, determined to pursue his goal of reaching $1 billion in trading profits. His trades, visible through the Hyperliquid platform, which publicly displays trader positions, have attracted wide attention and scrutiny within the crypto community.
The dramatic loss has reignited conversation around transparency in decentralised finance (DeFi). Binance co-founder Changpeng Zhao (CZ) has weighed in, suggesting that a dark pool perpetual DEX—where large trades are hidden from public view—could help protect traders like Wynn from front-running and market manipulation.
While dark pools are standard in traditional financial markets, their use in crypto is controversial. Critics argue they could reduce accountability, while supporters claim they offer necessary discretion for institutional-level trading. CZ believes a more private system could prevent incidents like Wynn’s, though whether such a shift gains adoption remains to be seen.
Meanwhile, Wynn continues to court attention on social media, even tagging CZ in a post asking him to “DM me,” fueling further speculation about potential collaboration or platform support.
