Papertrade Exploited for $1.28M in 8 Hours Using 1000x Leverage on Hyperliquid
Within eight hours of its launch, perpetual futures platform Papertrade was exploited for $1.28 million. A trader used 1000x leverage to manipulate Hyperliquid spot prices, profiting from Papertrade's passive liquidity pool. The operation cost $52,000 in fees. Papertrade says it is tightening position limits. Incident highlights risks of external pricing and high leverage in DeFi derivatives.
