{"id":9105,"date":"2026-06-01T01:59:35","date_gmt":"2026-05-31T22:59:35","guid":{"rendered":"https:\/\/handoli.com\/index.php\/2026\/06\/01\/hyperliquid-spacex-perp-plummeted-before-blue-origin-explosion\/"},"modified":"2026-06-01T01:59:35","modified_gmt":"2026-05-31T22:59:35","slug":"hyperliquid-spacex-perp-plummeted-before-blue-origin-explosion","status":"publish","type":"post","link":"https:\/\/handoli.com\/index.php\/2026\/06\/01\/hyperliquid-spacex-perp-plummeted-before-blue-origin-explosion\/","title":{"rendered":"Hyperliquid SpaceX perp plummeted before Blue Origin explosion"},"content":{"rendered":"
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SPACEX, a popular perpetual futures contract (perp) on the Hyperliquid leveraged crypto exchange that is loosely connected to the valuation of Elon Musk\u2019s rocket company, lost nearly half its value within 7 minutes yesterday, then recovered almost all of that loss 10 minutes later.<\/p>\n

Overnight, some crypto influencers tried to link the flash-crash to the Blue Origin New Glenn explosion that lit up Cape Canaveral later that night. The timing, however, did not align.<\/p>\n

The SpaceX market on Hyperliquid is deployed by Ventuals, a pre-IPO perpetuals protocol. Perps are allegedly\u00a0priced<\/a>\u00a0at one billionth of the valuation of the private company.<\/p>\n

At 11:37 AM New York time and prior, the unofficial SpaceX contract traded near $2,286, implying a valuation of $2.3 trillion. By 11:44 AM, the perp had crashed to $1,299.10. By 11:54 AM it had snapped back to $2,225.30.\u00a0<\/p>\n

The perp is denominated in USDH, Hyperliquid\u2019s own stablecoin.<\/p>\n

A similar SpaceX Ventuals perp listed<\/a> on BingX denominated in USDT, the world\u2019s most popular stablecoin, dropped harder. It was trading at $2,524.70 at 11:37 AM, then collapsed to $1,269.70 seven minutes later, before recovering to $2,208.40 by 11:54 AM.<\/p>\n

Ventuals acknowledges its SPACEX flash-crash<\/h2>\n

Ventuals\u00a0acknowledged<\/a>\u00a0the incident on X about an hour after the bottom. \u201cThe offchain data provider used as a component of the oracle price returned incorrect data, which caused the market\u2019s oracle and mark price to move dramatically.\u201d\u00a0<\/p>\n

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We are aware of an incident on our SPACEX market about an hour ago.<\/p>\n

The offchain data provider used as a component of the oracle price returned incorrect data, which caused the market\u2019s oracle and mark price to move dramatically. This led to the liquidation of some user\u2026<\/p>\n

\u2014 Ventuals (@ventuals) May 28, 2026<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

According to Ventuals\u2019 documentation, the name of that provider\u00a0is<\/a>\u00a0Notice, whose possibly corrected\u00a0chart<\/a>\u00a0does not contain the flash-crash data that Ventuals used today.<\/p>\n

Ventuals said it had taken steps to prevent recurrence across its pre-IPO perps and was evaluating compensation. Hours later, it\u00a0vowed<\/a>\u00a0to pay for its mistake. \u201cQuick update \u2013 affected users will be compensated within the next 48 hours.\u201d<\/p>\n

By Hyperliquid\u2019s own data, 1,393 positions held by about 400 wallets were force-liquidated for $1.51 million in notional value.<\/p>\n

The Blue Origin coincidence that wasn\u2019t<\/h2>\n

The Hyperliquid-listed SPACEX perpetual contract bottomed at 11:44 AM New York time. In contrast, Blue Origin\u2019s New Glenn rocket\u00a0exploded<\/a>\u00a0around 9:00 PM New York time, during a hot-fire test. More than nine hours separated the two events.<\/p>\n

Jeff Bezos\u00a0posted<\/a>\u00a0on X late that night. \u201cIt\u2019s too early to know the root cause but we\u2019re already working to find it. Very rough day, but we\u2019ll rebuild whatever needs rebuilding and get back to flying. It\u2019s worth it.\u201d<\/p>\n

The two events share a date and a corporate-rival framing, but little else.<\/p>\n

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Did \u2018insider\u2019 secretly short Robinhood on Hyperliquid?<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

Read more: <\/em>Outdated algorithm caused $650M excess losses on Hyperliquid, report<\/a><\/p>\n

SpaceX perp broke on Hyperliquid<\/h2>\n

Ventuals lists the SpaceX token under HIP-3, Hyperliquid\u2019s builder-deployed perpetuals standard. Third parties can spin up new perp tokens on its matching engine.\u00a0<\/p>\n

Because SpaceX is privately held and has no public price, Ventuals\u00a0constructs<\/a>\u00a0its own oracle. The recipe blends a feed from private-markets vendor Notice with a two-hour moving average of the contract\u2019s mark price. Notice\u2019s feed earns one-third weight, although traders are free to weight its feed by any amount when making trading decisions. The Exponential Moving Average (EMA) of Hyperliquid trading prices earns two-thirds weight.<\/p>\n

When the Notice feed returned a bad number Thursday morning, both the oracle and the mark price jolted lower. The contract collapsed inside the 20% downward price band Ventuals enforces relative to the oracle. Then it collapsed again as the oracle itself kept moving. Retail traders running 3x leverage \u2014 the max leverage available under the perp at the time \u2014 were blindsided.<\/p>\n

Ventuals\u2019 own documentation is direct about what these markets are. Holders, it\u00a0states<\/a>, \u201cdo not have any underlying economic ownership in the company \u2013 you\u2019re merely speculating on its valuation change.\u201d SpaceX has not authorized the contract, receives no proceeds from it, and has no formal relationship with Ventuals or Hyperliquid.<\/p>\n

Protos previously documented how the same Ventuals architecture briefly charged Anthropic-perp longs annualized funding rates of\u00a08,700%<\/a>\u00a0over a weekend.\u00a0<\/p>\n

The mechanics of a flash crash are similar. When crypto adds financial leverage to opaque data oracles, even small errors can liquidate markets worth millions of dollars.<\/p>\n

Got a tip? Send us an email securely via\u00a0<\/em>Protos Leaks<\/em><\/a>. For more informed news and investigations, follow us on\u00a0X<\/a>,\u00a0<\/em>Bluesky<\/em><\/a>, and\u00a0<\/em>Google News<\/em><\/a>, or subscribe to our\u00a0<\/em>YouTube<\/em><\/a>\u00a0channel.<\/em><\/p>\n

The post Hyperliquid SpaceX perp plummeted before Blue Origin explosion<\/a> appeared first on Protos<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

SPACEX, a popular perpetual futures contract (perp) on the Hyperliquid leveraged crypto exchange that is loosely connected to the valuation of Elon Musk\u2019s rocket company, lost nearly half its value within 7 minutes yesterday, then recovered almost all of that loss 10 minutes later. Overnight, some crypto influencers tried to link the flash-crash to the […]<\/p>\n","protected":false},"author":1,"featured_media":9106,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":[],"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[147],"tags":[],"class_list":["post-9105","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-invest"],"_links":{"self":[{"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/posts\/9105","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/comments?post=9105"}],"version-history":[{"count":0,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/posts\/9105\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/media\/9106"}],"wp:attachment":[{"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/media?parent=9105"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/categories?post=9105"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/handoli.com\/index.php\/wp-json\/wp\/v2\/tags?post=9105"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}