On the crypto contract platform Hyperliquid, a long position of 5,000 ETH with a leverage of up to 25 times is hanging by a thread, with its liquidation price only about 2.4% away from the market price.
Huang Licheng shared a photo of a swimming pool on social media, captioned: "California Love." At this time, he had just experienced 10 consecutive liquidations on Hyperliquid, with his account balance plummeting from $1.3 million to only $53,178.
1. Today's Battle Report
On December 18, 2025, on-chain data recorded the iconic trading operation of "Big Brother Majin" Huang Licheng once again.
● He closed the long positions of BTC and HYPE added yesterday today, with a total loss exceeding $70,000. Currently, his main risk exposure is concentrated in an extremely dangerous position: still holding a 25x leveraged long position of 5,000 ETH, with an unrealized loss of $510,000.
● The opening price of this position was $2933.47, while the liquidation price was as high as $2734.46. At the current ETH price, the market only needs to drop about 2.4% more for this enormous position worth over $14 million to face forced liquidation.
● This is just another ordinary trading day in Huang Licheng's trading career. Just days ago, he had injected $254,700 into his trading account, increasing his ETH long position to 11,100, with a total value exceeding $36 million.
II. Capital Maze
The most puzzling question for people is, after suffering losses of tens of millions of dollars recorded publicly, why is he always able to immediately replenish large margins and continue to gamble?
The answer lies in the diversified and bottomless capital structure he has built.
● The first layer is the 'anchoring capital' from traditional tech entrepreneurship. In 2015, Huang Licheng co-founded 17 Media (later renamed 17LIVE). This live streaming platform successfully went public in 2023, and Huang Licheng acquired a significant cash liquidity in 2020 through a company share buyback, just before the 2021 crypto bull market.
The second layer is the accumulation of controversial early crypto projects. The blockchain project MITH, which he led, raised $51.6 million through private placement in 2018. Although the project ultimately failed and the token plummeted over 99%, the team sold off 89% of the circulating supply during the early stages.
● The third layer is efficient NFT financialization operations. As a whale collector of top NFT series like Bored Ape Yacht Club, he continuously converts NFT assets into liquidity needed for trading through large-scale sales, collateralized lending, and earning airdrop rewards.
III. Behavioral Decoding
Huang Licheng's trading model has solidified into a mechanical and high-risk program: regardless of market conditions, he always insists on high leverage long positions.
● On September 18, 2025, his account once had an unrealized profit of up to $44.84 million. However, the subsequent market crash turned the situation around. By October 11, his ETH long position was forcibly liquidated, resulting in a loss of about $12.16 million within two hours. From early October to October 16, his accumulated losses on Hyperliquid approached $49.59 million.
● The most dramatic crash occurred in early November. He opened a 25x leveraged long position of 100 ETH with the remaining $16,700 in his account. 24 hours later, the account balance dropped to $1718. It had only been 47 days since the peak of his assets.
● Regarding this 'zeroing out', he casually commented on social media: 'Was fun while it lasted.'
IV. Ecological Roles
In this high-leverage game, Huang Licheng plays not just a trader but a unique node in the entire DeFi derivatives ecosystem.
● His presence brings significant liquidity and attention to the platform. Every time he injects a large margin or faces liquidation, it triggers market volatility and community discussions.
● Ordinary investors easily fall into the illusion that tracking his wallet address through on-chain data will give them an information advantage. However, this transparency often leads to more dangerous emotional traps.
● When the market suddenly changes, the efficiency of decentralized exchanges becomes a deadly killer for high leverage positions. On platforms like Hyperliquid, liquidation is executed automatically by code, with no chance for human intervention.
V. Ultimate Warning
Huang Licheng's case is significant not because it provides a replicable success template, but because it reveals the cruel survival rules in the crypto derivatives market.
● The 'Gambler's Ruin Theorem' perfectly explains his outcome: in a game with a negative expected value, as long as one keeps betting, regardless of the initial capital, the probability of eventual bankruptcy is 100%.
● Leverage brings an individual's 'bankruptcy cliff' right in front of them. A 25x leverage means the market only needs to move 4% in the opposite direction for the principal to be wiped out. The fundamental difference between ordinary investors and Huang Licheng lies in capital depth; he has a diversified capital backing to withstand multiple liquidations, whereas ordinary people often exit after one liquidation.
● His latest holding of 5000 ETH long positions is like a bomb that could explode at any moment. When the market discusses whether he can 'turn things around', the more pertinent question is: in this capital game, do you want to be the one providing liquidity or the one creating liquidity?
The transparency of blockchain makes every trade, addition, and liquidation of Huang Licheng a public financial reality show. His loss is starkly contrasted by the surreal image of him by the pool with 'California Love' and only $1718 left in his account.
His latest holding of 5000 ETH long positions set a cliff boundary at $2734.46. When the market volatility crosses this line, it is uncertain whether he will leave that phrase on social media: 'Was fun while it lasted.'
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