The post Hyperliquid CEO questions Binance’s liquidation transparency appeared on BitcoinEthereumNews.com.

Hyperliquid’s founder has reignited the debate over exchange transparency, questioning Binance’s liquidation reporting practices. Summary Hyperliquid founder criticizes Binance for underreporting liquidation events, showing only one per second during volatile periods. The criticism comes after a $19 billion wipeout led to the depeg of the exchange’s USDe, wBETH, and BnSOL. Binance recently pledged up to $283 million in compensation for affected users. Jeff Yan, the CEO and founder of Hyperliquid, has taken aim at Binance’s liquidation reporting practices, raising concerns about a lack of transparency in how centralized exchanges disclose critical trading data. In a tweet on Oct. 13, Yan mentioned how Binance’s liquidation streams underreport actual events, particularly during periods of high volatility. The critique stems from the exchange’s own documentation, which reveals that liquidation order streams only push the most recent liquidation order within a 1000-millisecond window. If no liquidation happens in that interval, no data is sent. The Hyperliquid co-founder warned that this could result in severe underreporting, potentially by a factor of 100 when multiple liquidations occur simultaneously. Hyperliquid’s fully onchain liquidations cannot be compared with underreported CEX liquidations Hyperliquid is a blockchain where every order, trade, and liquidation happens onchain. Anyone can permissionlessly verify the chain’s execution, including all liquidations and their… pic.twitter.com/K5sv74LJgO — jeff.hl (@chameleon_jeff) October 13, 2025 Yan emphasized that such practices contrast sharply with Hyperliquid’s model. Built as a fully on-chain decentralized exchange (DEX), Hyperliquid logs every trade, order, and liquidation on-chain in real-time. This setup, he argues, ensures transparency, neutrality, and user trust. “Anyone can permissionlessly verify the chain’s execution,” he said, suggesting this is the ideal framework for a global financial infrastructure. Binance, Hyperliquid hit as volatile weekend causes huge crypto liquidation The timing of Yan’s statement comes after the crypto market experienced a huge liquidation over the weekend. On…

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Filed under: News - @ October 13, 2025 7:26 am