Hyperliquid announces JELLY incident handling plan and Risk Management upgrade measures

According to the Gate.io News bot, Hyperliquid has released a solution for the “JELLY incident” and has decided to settle long positions for all users with unmarked address at a price of 0.037555.

At the same time, Hyperliquid announced the implementation of a series of risk management upgrades: setting strict limits for the Liquidator vault, ensuring it only comprises a small portion of the total HLP account value; reducing the rebalancing frequency; and introducing a new backstop liquidation logic. When the vault’s losses exceed the set threshold, the system will trigger the ADL mechanism, rather than automatically calling on collateral from other component vaults.

In addition, Hyperliquid will dynamically adjust the maximum limit of open contracts based on the market capitalization of assets. For assets below the set threshold, validators will decide whether to delist them through on-chain voting.

Source of information: Wu Shuo

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