Hyperliquid Price Surges 7.65% Amid On-Chain Ties to BitForex's Garrett Jin

Hyperliquid's latest price was $39.79, up 7.651% in the last 24 hours. This recent movement has drawn attention as a new wave of on-chain analysis uncovers potential links between a large whale account and Garrett Jin, the former CEO of the now-defunct exchange BitForex. According to a researcher known as Eye, a massive whale wallet with over 100,000 BTC appears to be connected to Jin through a series of blockchain transactions and digital footprints. These include a central Ethereum wallet, ereignis.eth, linked to garrettjin.eth, an ENS domain that ties directly to Jin’s verified X account.

The researcher's findings suggest a pattern of activity consistent with Jin’s known business strategies, including transfers to staking contracts and addresses connected to exchanges such as HKX, a successor to Huobi. These connections have led to growing speculation that Jin may be behind the whale’s operations. However, the evidence remains indirect. Crypto commentator Quinten François has questioned the validity of linking an ENS domain and social media presence to actual ownership of a large wallet, emphasizing that such connections do not necessarily prove intent or control.

Garrett Jin’s history in the crypto space is marked by controversy. From 2017 to 2020, he led BitForex, an exchange that faced allegations of fabricated trading volume and unregistered operations. The platform eventually collapsed after losing $57 million in hot wallet funds, freezing withdrawals, and ceasing operations following the arrest of its team in China. Regulatory bodies, including Hong Kong’s Securities and Futures Commission (SFC), issued warnings about potential fraud, and affected users continue to seek compensation. Since then, Jin has been involved in several ventures, though many have since become inactive or have raised further scrutiny.

In 2024, Jin launched XHash.com, an Ethereum staking platform, which has since drawn attention due to its potential role in facilitating the movement of funds linked to BitForex. Following allegations, Jin removed XHash from his social media accounts, though it remains listed on his Telegram. Investigators have noted that this platform could be part of a broader pattern of asset management and repositioning. The scrutiny of his activities has also extended to his interactions with staking contracts and addresses tied to exchanges with which he has previously been affiliated, reinforcing the argument that Jin may be behind the Hyperliquid whale's operations.

The debate over Jin’s potential involvement has sparked broader discussions about accountability and transparency in the crypto industry. On-chain analysis has proven to be a powerful tool in uncovering hidden relationships and patterns, but it also comes with limitations. The case highlights the need for due diligence and the recognition that on-chain data, while informative, is not always conclusive. As the investigation continues, the crypto community remains divided, with some viewing the evidence as compelling and others calling for greater scrutiny before drawing definitive conclusions.

On October 11, 2025, Hyperliquid experienced one of the largest liquidation events in its history. Over 1,000 user wallets were fully liquidated, resulting in more than $1.23 billion in lost trader capital. This event was part of a broader market downturn that saw over $19 billion in total liquidations across the crypto market in a 24-hour period. The impact was most pronounced in Bitcoin and Ethereum, though other major tokens also faced significant losses. Despite the severity of the event, Hyperliquid’s founder Jeff stated that the platform maintained 100% uptime and avoided bad debt, attributing this to its risk management protocols during the crisis.

A high-profile whale on Hyperliquid executed a massive short position before the market downturn, reportedly earning $150 million and then opening a new $160 million short in response to shifting conditions. The timing of this trade, just before a major geopolitical event, has raised questions about information asymmetry and the role of macroeconomic events in shaping market outcomes. The whale’s actions have sparked discussions about the influence of large players in decentralized trading environments, where transparency is higher but so is the potential for abuse.

Cryptocurrency investigator Coffeezilla highlighted the precise timing of the whale’s trade, noting that it was placed just before a key tweet from a major political figure that triggered a sharp drop in risk assets. This sequence of events has fueled debates about the fairness and transparency of trading practices in decentralized platforms like Hyperliquid, where order books and execution data are more accessible. While some view such actors as skilled traders, others raise concerns about the potential for manipulation and the need for stronger safeguards.

Independent research into the Hyperliquid whale’s activities has traced some of the associated wallets to staking activity on the Ethereum Beacon Chain. These wallets are estimated to hold more than 100,000 BTC and 570,000 ETH. Some of these addresses are linked to an identity known as “ereignis.eth” or “garrettjin.eth” on the Ethereum Name Service (ENS), further deepening the connection between the whale and Jin. Analysts suggest that these funds may represent reinvested capital from previous ventures, underscoring the speculative nature of large-scale crypto trading.

Garrett Jin’s extensive background in the crypto industry includes leadership roles at major exchanges and staking platforms. His current Bitcoin holdings, exceeding 46,000 BTC, are valued at over $5 billion, placing him among the largest holders in the space. The potential connection between Jin and the Hyperliquid whale is still under investigation, with some analysts suggesting that a single actor may be managing multiple wallets, while others remain cautious about drawing firm conclusions. What is clear is that the whale’s influence has sparked renewed conversations about the role of institutional and high-net-worth actors in shaping price movements and the potential for abuse of informational advantages.

The Hyperliquid liquidation event has reignited discussions about the risks inherent in leveraged trading and the need for improved risk management strategies. The scale of losses reported, including cases where traders lost six figures or more, highlights the vulnerability of leveraged positions to sudden shifts in market sentiment. The incident underscores the importance of transparency and the need for stronger safeguards, particularly in decentralized platforms where traders operate with greater autonomy but also greater exposure.

Hyperliquid has stated that the liquidations were the result of natural market forces rather than platform manipulation or technical failures. The exchange emphasized that its systems functioned as intended and that all actions taken were necessary to preserve platform solvency. These claims have yet to be independently verified, and the ongoing debate reflects the broader tensions around regulatory oversight and the evolving structure of digital asset markets. As the industry continues to grow, incidents like these will likely shape the future of crypto trading, both in terms of market structure and regulatory expectations.

One trader on Hyperliquid reported a $21 million loss due to the exposure of a private key, a separate but related incident that highlights the risks associated with high-risk trading. While not directly linked to the broader liquidation event, it serves as a reminder of the importance of security in the crypto space. Such cases underscore the need for better user education and the implementation of robust technical safeguards to prevent preventable losses.

The Hyperliquid liquidation event serves as a case study for understanding the dynamics of leveraged trading, the influence of large market participants, and the potential consequences of extreme volatility in the crypto market. As more institutional players enter the space, these incidents will likely shape the regulatory and structural evolution of digital asset markets. The transparency and accessibility of decentralized platforms like Hyperliquid offer both opportunities and challenges, and the current debates reflect the broader tensions within the crypto ecosystem.