Crypto trader James Wynn loses $25 million on Bitcoin trading
James Wynn loses $25 million in Bitcoin after 40x leverage liquidation
Crypto speculator James Wynn has lost $25 million in Bitcoin after a highly leveraged long position was forcibly liquidated, according to onchain analytics from Lookonchain.
On June 4, the platform reported that Wynn’s position—totaling 240 BTC—was wiped out despite attempts to reduce his exposure by manually lowering the liquidation threshold, reports Cointelegraph.
The liquidation price was around $104,883 per Bitcoin, with Wynn still holding 770 BTC valued at over $80 million, but exposed to further risk. The trader’s aggressive use of 40x leverage left little room for price volatility, resulting in a nearly $1 million unrealized loss on his remaining position, data from Hypurrscan shows.
Allegations of manipulation and renewed risk-taking
Following the loss, Wynn took to X (formerly Twitter), claiming the market was being deliberately manipulated against him. Despite a turbulent week that included a $100 million loss and a failed $1.25 billion long initiated just days earlier, Wynn resumed leveraged trading, reportedly opening another $100 million long position in a renewed push to reach a $1 billion profit target.
His trades, made through Hyperliquid—a platform that makes trader positions public—have drawn widespread attention, both for their scale and for Wynn’s refusal to retreat. His high-profile moves have made him a lightning rod in crypto trading circles, even as critics question the sustainability of his approach.
Push for dark pool DEXs amid transparency debate
The fallout from Wynn’s liquidation has reignited debate over market transparency in decentralized finance. Binance co-founder Changpeng Zhao responded by proposing a dark pool perpetual DEX to shield large orders from public visibility, which he claims could reduce front-running and slippage.
While dark pools are common in traditional finance, they remain controversial in crypto due to potential conflicts of interest. Zhao argues that enhanced privacy could mitigate the type of manipulation alleged by Wynn. Whether this model gains traction may depend on how the industry balances transparency with institutional needs for discretion.
Recently we wrote that on Monday, crypto Twitter lit up when James Wynn—known for his high-leverage trades and recent dramatic losses—tagged Binance founder Changpeng Zhao (CZ) on X, urging him to “DM me.”
