Hyperliquid, a leading derivatives trading platform, is once again under scrutiny after users reported significant order delays due to API congestion. This latest incident has left traders frustrated and questioning the platform’s reliability. Here’s what you need to know.
Hyperliquid API Congestion Causes Major Disruptions
Early in the trading day, users began encountering the error message “unexpected error sending order.” Unlike previous outages, this issue was attributed to API congestion, not a system-wide failure. The team confirmed no security breach occurred, but the delays impacted liquidity and trading volume.
How Did the Order Delays Affect Traders?
- Orders were delayed by over 30 minutes.
- The platform’s native token dropped 2.27% in 24 hours.
- Price discrepancies arose due to delayed trade closures.
Hyperliquid’s Response and Refund Plans
The team announced automated refunds for affected users via Telegram, eliminating the need for support tickets. An updated methodology for determining eligibility will be shared soon.
A Trader’s $22 Million Loss on Hyperliquid
James Wynn, known for high-leverage bets, lost over $22 million across nine liquidations in two weeks. His final trade, a Pepe long position, ended in failure before he withdrew $33,000 to Binance.
Why Derivatives Trading Platforms Face Growing Scrutiny
Centralized derivatives platforms like Hyperliquid are under pressure to improve system resilience and communication. Traders demand faster execution and transparency during disruptions.
FAQs
What caused the Hyperliquid API congestion?
The platform attributed the delays to high traffic overwhelming their API infrastructure.
How long were orders delayed?
Users experienced delays exceeding 30 minutes during peak congestion.
Will affected traders receive compensation?
Yes, Hyperliquid plans automated refunds without requiring support tickets.
How did this impact Hyperliquid’s native token?
The token fell 2.27% to $42.10, continuing a downward trend from previous outages.
