Web3 Security Firm Salus: Chinese Law Enforcement has uncovered 3 money laundering cases using HyperLiquid, with a strategy structure highly similar to James Wynn's modus operandi

BlockBeats News, June 6th, Mirror Tang, founder of Web3 security company Salus, posted on social media that since March of this year, Chinese law enforcement agencies have uncovered three cases of cryptocurrency money laundering using HyperLiquid. The modus operandi involved exploiting HyperLiquid's high-leverage liquidation mechanism to launder illegal gains, offsetting them on HyperLiquid, causing liquidation losses, and meanwhile, taking a long position on centralized exchanges to profit, completing the fund whitewashing. Salus will soon release a research article in collaboration with law enforcement agencies to formally disclose this information.

Mirror Tang also pointed out that this strategy is highly similar to the recent actions of the whale James Wynn, who opened high-leverage contracts and eventually retracted $100 million in profit.

Mirror Tang called on Hyperliquid co-founder Jeff to pay attention to this issue, stating that failure to address the lack of current risk control measures would pose a high risk of regulatory intervention.