trade.xyz to repay traders after SK Hynix pricing glitch triggers ~$60M Hyperliquid long liquidations

trade.xyz says it will repay eligible traders after a SK Hynix pricing shock in South Korea’s NextTrade pre-market session cascaded onto Hyperliquid. The event involved a trade.xyz USDC-margined SK Hynix perpetual that tracks the stock’s USD value and switches to an external oracle when NextTrade opens. According to the report, the stock printed near $868—about 30% below the prior close but still within the exchange’s daily limit—and was relayed into the oracle. Even though the oracle behaved “as designed,” Hyperliquid’s mark price dropped about 18.7% shortly after the update. Within minutes, open interest fell from $481M to $331M, and an estimated 960 accounts were liquidated on the long side, totaling roughly $57M–$80M. trade.xyz confirmed the timing to July 27 and used a reference rate of $1,115.5 to calculate reimbursements. Losses up to $10,000 were eligible for automatic refunds; larger losses required a manual claim. The exchange frames the payout as a one-time discretionary decision, while it accelerates changes to its pricing approach—giving more weight to its own order books during volatility. For crypto traders, the key takeaway is that a traditional-market pricing shock can quickly amplify into large liquidation cascades on-chain—especially in tokenized-stock perpetuals and Hyperliquid builder markets where trade.xyz is a dominant liquidity source.