COINOTAG reported on August 31, citing Onchain Lens monitoring, that a newly created wallet withdrew 2 million USDC from Binance and deposited 1 million USDC into HyperLiquid to open a 25x short ETH position. On-chain records show the address still retains approximately 1 million USDC on-chain, which may be reserved for margin or to scale the existing short exposure.

Market observers note that this flow of stablecoin liquidity into a high-leverage venue underscores concentration and counterparty risk; leverage at 25x materially increases liquidation risk and can amplify volatility in underlying ETH markets. Traders and risk desks tracking on-chain analytics should monitor further balance movements for implications on margin dynamics and position sizing.