How Andrew Tate blew $800,000 on Hyperliquid: the story of a collapse

The cryptocurrency market has once again demonstrated its ruthlessness. Trader and media personality Andrew Tate was fully liquidated on the decentralized platform Hyperliquid, losing a total of $800,000. Blockchain analysts from Arkham tracked every step of his financial collapse in detail, revealing serious strategic mistakes.

The Beginning of the End: How It All Started

Tate made an initial deposit of $727,000 on Hyperliquid, intending to trade perpetual futures with leverage. However, instead of profitable trading, he faced a series of losing positions that gradually ate away at his capital. When the main deposit was nearly exhausted, Tate decided to recover losses using referral bonuses.

The reward system brought him $75,000 from users who registered through his link. Instead of withdrawing these funds and minimizing risk, he reinvested them into trading. This move proved fatal — $75,000 were lost during new liquidations.

Analyst Param noted the critical state of the account: “Andrew Tate has been fully liquidated. There are only $984 left in his account. He continued trading even after the first major losses, using referral rewards for new attempts.”

Trading History: 80 Trades, 35% Win Rate

The unfolding events took place over several months. The largest loss was recorded in June — $597,000 lost in a single trade. Analyst StarPlatinum identified a critical mistake in September: Tate opened a long position on the World Liberty Financial (WLFI) token, subsequently losing $67,500.

The November disaster was the culmination. On November 14, Tate held a Bitcoin position with 40x leverage. Market movement against his position led to forced liquidation and a loss of $235,000 — an amount that could have drastically changed his financial situation.

Throughout the period, Tate made over 80 trading operations. His win rate was only 35.5%, significantly below the average success rate of traders. Total losses reached $699,000 — a figure that reflects not just failure but systematic errors in risk management.

The only bright spot was August, when a short position on the YZY asset yielded a profit of $16,000. However, this success was completely offset by subsequent losing trades.

Major Losses in Margin Trading: Not Just Tate

Andrew Tate’s experience points to a broader issue with decentralized derivatives platforms. Other major players faced similar disasters.

James Winn lost over $23 million on Hyperliquid, reducing his account from millions to a mere $6,010. In July, trader Qwatio suffered a $25.8 million loss during a market rally when his short positions were liquidated in a single moment.

The most impressive loss among the observed cases belongs to whale 0xa523, who lost $43.4 million in one month on the same platform.

The Core Issue: The Devil is in the Details of Leverage

These cases demonstrate the fundamental risk of margin trading on decentralized exchanges. The high leverage (of up to 40x) in Tate’s case simultaneously amplifies both potential profits and losses. Incorrect timing of entry or sudden market movements can cause traders to lose their entire deposit within minutes.

Andrew Tate’s account status shows that even well-known public figures are not immune to the volatility of the cryptocurrency market. His story serves as a stark reminder of the importance of understanding risks and managing capital wisely when trading derivatives.