Web3 Security Firm Salus: Chinese Law Enforcement has uncovered 3 money laundering cases using HyperLiquid, with a strategy structure highly similar to James Wynn's modus operandi

On June 6th, Mirror Tang, the founder of Web3 security company Salus, posted on social media that since March of this year, Chinese law enforcement agencies have detected three cases of cryptocurrency money laundering carried out using HyperLiquid. The modus operandi entailed leveraging HyperLiquid's high-leverage liquidation mechanism to launder illegal proceeds, offsetting them on HyperLiquid, resulting in liquidation losses. Meanwhile, taking a long position on centralized exchanges to make a profit and completing the fund laundering. Salus will soon release a research article in collaboration with law enforcement agencies to officially disclose this information. Mirror Tang also pointed out that this strategy is highly similar to the recent actions of the whale James Wynn, who opened high-leverage contracts and ultimately withdrew $100 million in profit. Mirror Tang called on Hyperliquid co-founder Jeff to pay attention to this issue, stating that the failure to address the lack of current risk control measures would pose a high risk of regulatory intervention.