On March 13, Bybit Lianchuang and CEO Ben Zhou posted on social media about his views on "large-scale liquidation of ETH positions on Hyperliquid" and said: "This eventually triggered discussions about leverage, DEX and CEX providing low or high leverage capabilities. What happened essentially was that a giant whale used Hyperliquid's liquidation engine to withdraw. In the case of large amount of funds + high leverage, it was difficult to exit quickly, and the market order would have huge slippage. Try to push high-definition prices by withdrawing floating profit funds, and after triggering liquidation, Hyperliquid takes over the entire position at the liquidation price, you can get away smoothly. The one who suffered losses was Hyperliquid. In this case, CEX and DEX faced the same challenge, Bybit The clearing engine will also take over the entire position when the giant whale is liquidated. Currently Hyperliquid has reduced the overall leverage, which is one method and may also be the most effective method, but this can hurt the business because users want to open higher leverage. In addition, Hyperliquid can also consider deploying tools such as dynamic risk limiting mechanisms: as the position grows, the overall leverage decreases according to the size of the position. In CEX, the opening of such giant whale will drop to about 1.5 times. However, if users use multiple accounts (no KYC, extremely low cost of opening an account) to achieve the same goal, this does not solve the problem. Then this leads to whether DEX really wants to maintain high leverage in the long run and avoid this problem, they may need to deploy many CEX-level risk management measures such as market monitoring to detect abusers and market operators, OI restrictions to control the overall OI, and so on. Even Hyperliquid Leverage is currently reduced (BTC to 40x, ETH to 25x) and is still likely to be abused.