"Once Made 60 Billion Won, Famous Singer Ends Up Losing 50 Billion Won in Crypto Betting"

High-Leverage Investments Lead to 335 Liquidations

Jeffrey Huang, a famous Taiwanese singer, reportedly suffered losses of around 50 billion won after engaging in leveraged investments in the cryptocurrency market.

According to Bitcoin World, a cryptocurrency-focused media outlet, Huang, who is known as a whale investor in the Bored Ape Yacht Club (BAYC) non-fungible token (NFT) series, recorded cumulative losses amounting to 33.35 million dollars (approximately 50 billion won) due to repeated liquidations.

Taiwanese famous singer Jeffrey Huang. Instagram

In the cryptocurrency market, liquidation refers to the forced closing of a leveraged position when an investor fails to meet margin requirements. Leverage is an investment strategy where the investor borrows funds from an exchange to operate a position larger than their margin.

According to data from the blockchain analytics platform Lookonchain, Huang experienced a total of 335 liquidations on the blockchain-based futures exchange Hyperliquid (HYPE). At one point, his account’s cumulative profit exceeded 44 million dollars (about 6.58 billion won), but after a series of liquidations, the balance dropped to around 30,279 dollars (approximately 45.28 million won).

Huang initially generated significant profits with an aggressive trading strategy, but as market conditions changed, he faced a series of margin calls (requests for additional collateral). In particular, the repeated liquidations were attributed to the use of high-leverage positions, which rapidly accelerated his losses.

The media outlet pointed out, “The 335 instances of liquidation suggest that he repeatedly entered high-risk positions in an attempt to recover losses,” adding, “A strategy aimed at quickly recouping losses can, in fact, lead to even greater losses. This is a case that illustrates how risky high-leverage trading can be in the cryptocurrency market.”

This content was produced with the assistance of AI translation services.