SmartestMoney, which promised to support Hyperliquid until its last breath and punish HYPE shorters has opened a short position of 1.875 million HYPE ($46.9 million), claiming it is doing so to profit from basis trading.
Moreover, over the past 24 days, it has sold 1.954 million HYPE for $42.12 million with an average exit price of $22.05, but still remains the largest holder with over $150 million in assets spread across the various protocols in the HyperEVM ecosystem.
Info dug up by x.com/mlmabc, subscribe to his channel with notifications on HYPE's big moves.
📝 CURRENT POSITIONS
SmartestMoney still holds 6.012 million HYPE (worth $150.3 million), as well as several million dollars in PURR, HFUN and FARM tokens, none of which it has ever sold. His asset allocation is as follows:
3.558 million HYPE ($88.95 million) are in staking
2.454 million HYPE ($61.36 million) are active in various DeFi protocols such as Hyperlend, Felix, Laminar and Valantis
Considering the short position, his total long position is: 4.14 million HYPE ($103.4 million) = 6.012 million HYPE - 1.875 million HYPE (short position)
🔍 WALLETS AND TRANSACTIONS
Wallets storing his HYPE:
one: https://www.hyperfolio.xyz/0x63af859d7b4717bd4d3705f15b6d4caad6cf4b36
two: https://www.hyperfolio.xyz/0x8177b8dae5b3ce7de2ca6e5449ffc6aab2f626ba
three: https://hypurrscan.io/address/0x9794bbbc222b6b93c1417d01aa1ff06d42e5333b
The wallet used for the short position:
🕵️ HOW TO GET ON THE SHORTER'S TRAIL
SmartestMoney sent a total of 2.72 million HYPE to the Gate exchange via their previously known wallets
Using Gate's personal deposit address, the author was able to find all of his wallets: hypurrscan.io/address/0x9322...
Checking flows on centralized exchanges showed which wallets received HYPE in this range
All API keys had the same names (Stax9, Stax10, Stax11, etc.), indicating a single owner using Ledger Stax hardware wallets
To confirm the short position, the author:
Checked USDC flows on Binance and found that someone was sending USDC from Coinbase to Binance using the Base network
The corresponding amounts were later deposited into Hyperliquid
the API key was named STAX25SHORT, which confirms the connection to the same wallets
📊 SALES BY WALLET
Detailed sales information for each wallet can be found in the original post MLM, our new zackxbt-on-hyperevm
⚠️ IMPORTANT NOTE
Despite significant sales, SmartestMoney remains the largest holding with 6 million HYPE and is actively involved in the development of the HyperEVM ecosystem. It supports most protocols and interacts with developers and the community.
SmartestMoney has protected the price at key levels when it matters most, and it needs to manage its positions to do so. He fully entered HYPE after TGE and experienced a portfolio value decline of over 9 figures when the price dropped from $35 to $10. Given the huge amounts involved, a partial risk reduction is perfectly normal. He still believes in the protocol and, according to MLM, has completed the sales, which will have a positive impact on the long-term price dynamics and the distribution of tokens to more holders.
Will he be able to sell now that every one of his wallets has a tag hanging from his ear? Will the market hunker down on his stops, realizing that he'll have to sell HYPE to refill the collateral?