James Wynn is the millionaire dealer who’s now notorious for being liquidated of almost $25 million in Bitcoin after betting $1.25 billion with leverage that the flagship cryptocurrency’s worth would rise.
Blockchain analytics platform Lookonchain shared in an X put up on June 4 that Wynn misplaced 240 BTC and had manually closed a part of his place to decrease the commerce’s liquidation worth. Information from Hypurrscan exhibits that the dealer is presently sitting on an unrealized lack of almost $1 million on a 40x Bitcoin lengthy place.
The dealer rose to prominence after making a sequence of huge, high-leverage bets on Bitcoin and memecoins by way of the decentralized buying and selling platform Hyperliquid. The historical past of his place is publicly obtainable on the platform. Wynn skilled one of many steepest losses in crypto buying and selling. In only a week, he managed to lose greater than $60 million.
Let’s check out the timeline of his unlucky Bitcoin wager and the story of the madman who was keen to place his complete wealth on the road to change into a billionaire dealer.
Who’s James Wynn?
James Wynn made his debut within the crypto buying and selling world in early 2022, the ultimate part of the 2021 bull market that noticed Bitcoin and different main cryptocurrencies register their all-time highs. He was reportedly paid $6,000 in Ether (ETH) by Alameda Analysis, the now-defunct crypto market maker and funding agency tied to Sam Bankman-Fried, which was recognized on the time for backing rising merchants.
Nonetheless, his first main transfer wasn’t till just a few years later when he made a $7,000 funding within the Pepe the Frog (PEPE). On the time, the memecoin’s market cap stood at simply $600,000, however quickly after, its valuation grew to $4.2 million, and Wynn’s aggressive buying and selling strategies helped him flip the preliminary funding right into a $25 million revenue.
Following his success with memecoins, he shifted his focus to leveraged buying and selling and joined Hyperliquid. Wynn got here again into the image in March 2025, when he started buying and selling on the buying and selling platform with $4.65 million in USD Coin (USDC). Over a two-month interval, he executed 38 trades on the change, primarily specializing in BTC and memecoins comparable to PEPE, TRUMP, and FARTCOIN, out of which 17 of them resulted in income.
In early Might, reviews confirmed that the dealer had turned his positions right into a $46.5 million revenue, with the quantity peaking at $87 million on Might 23.
His lengthy place in PEPE generated $25.19 million, adopted by BTC with $16.89 million, an extended commerce in TRUMP yielding $6.83 million, and the same place in FARTCOIN that earned him $4.84 million. Hyperliquid additionally benefited from his exercise, with Wynn paying the change roughly $2.13 million in buying and selling charges.
James Wynn’s Leverage Buying and selling Playbook
He employs a novel buying and selling technique, mixing excessive leverage with quick execution and sensitivity to market situations and investor sentiment. Wynn usually operates with leverage that ranges from 5x to 40x, and builds positions in fast-moving cryptocurrencies that exhibit sturdy momentum.
Commerce dimension is one other defining side of his strategy, the place the bets carry notional values in thousands and thousands. Whereas it creates vital market publicity, it will increase vulnerability tremendously. His liquidation threshold tends to take a seat inside a slender 2-3% vary beneath the entry worth, which signifies that even a minor drop might end in him struggling large losses inside minutes.
His buying and selling playbook additionally integrates social media, as he frequently shares his positions and supplies real-time updates on X. He makes use of transparency to construct credibility whereas influencing market psychology. Wynn’s social media presence can probably amplify traits which might be already in movement, including one other layer of technique to his buying and selling technique.
How Does Leveraged Buying and selling in Crypto Work?
Leverage buying and selling permits crypto merchants to amplify their positions effectively past their precise capital. The tactic is usually utilized by high-leverage merchants, like James Wynn, to maximise the returns on their preliminary investments. Whereas leverage buying and selling creates the potential for making massive positive factors, merchants are additionally on the danger of struggling sharp and quick losses.
Sometimes, a dealer opens a place by depositing a fraction of the overall worth required, often known as the margin. They then borrow the remaining quantity wanted to succeed in their desired leverage ratio. The dealer then executes the commerce, and the borrowed funds are used to amplify the potential positive factors or losses. If the commerce is a loss, then their place could also be liquidated, leading to a lack of the borrowed funds and likewise the margin.
Let’s take an instance to higher perceive this buying and selling technique. Assume {that a} dealer desires to purchase $100,000 value of Bitcoin with a 10x leverage ratio, then their margin will likely be $10,000 (10%) of the overall place, with borrowed funds making up 90% of the composition.
If BTC worth will increase by 10%, then the dealer’s revenue could be $10,000, representing 10% of the $100,000 place. Nonetheless, the dealer might expertise a big lack of the borrowed funds and probably the margin if Bitcoin’s worth decreased by 10%, pushing their losses to $90,000, amounting to 90% of the overall place.
Exchanges like Hyperliquid, Binance, Bitget, and Bybit present merchants with leverage ranges starting from 5x to 100x, relying on the asset they select and the platform’s insurance policies. Whereas it gives flexibility and capital effectivity, it additionally has a small margin for error that can lead to pressured liquidations inside minutes.
Buying and selling platforms typically apply extra buffers, often known as upkeep margins, which can set off liquidation barely earlier than the complete margin is misplaced. That is to make sure system solvency and shield insurance coverage funds.
James Wynn’s $1.25 Billion Bitcoin Leveraged Buying and selling Sequence
Wynn started his wager on Might 19 by opening a 5,520 BTC lengthy place with a 40x leverage. On the time, Bitcoin was priced at $103,302, inserting its liquidation degree at $98,294. The very subsequent day, he raised his place to 7,764 BTC, rising the notional worth of his place to $830 million. This moved his common entry level to $105,033, setting the liquidation at $100,330, additional narrowing the buffer between market worth and liquidation.
On Might 21, Bitcoin’s worth gained momentum, which led to Wynn rising his place to 9,371.71 BTC. This pushed the wager above the $1 billion mark, making it the biggest ever. At that time, his commerce was in revenue, displaying unrealized positive factors of $10.71 million at a median entry of $108,005.
Fueled by the prospect of Bitcoin focusing on a brand new ATH, Wynn closed a brief place of two,138 BTC, which secured him $11.92 million in realized revenue, however left 5,203 BTC value almost $555 million nonetheless energetic. He adopted it up by opening a brand new lengthy on Might 22 with 10,200 BTC, priced at $108,065. When Bitcoin recorded its new peak near $112,000, the dealer’s unrealized income stood at $39 million.
Nonetheless, the constructive momentum didn’t final lengthy. On Might 23, Bitcoin suffered a 4% drop to $106,700 after US President Donald Trump threatened a 50% tariff on European imports. Wynn responded by closing a separate place he had with PEPE, which made him a $25.18 million revenue. On Might 24, he used the proceeds to boost his Bitcoin lengthy to 11,588 BTC at $108,243, value $1.25 billion, with 40x leverage, setting the liquidation degree at $105,180.
However this choice proved expensive as the next day, he exited at $107,746, reserving a $13.39 million loss. That very same day, he elevated his Bitcoin quick place to 7,967.83 BTC, valued at $856 million, with a liquidation worth set at $111,280. Nonetheless, 15 hours later, on Might 26, he exited over $1 billion value of BTC quick positions, struggling a lack of roughly $15.87 million.
Wynn additionally closed his lengthy positions in ETH and SUI, which price him a further $5.3 million in losses. He additionally misplaced $976,635 on an extended Bitcoin commerce and a 10x leveraged lengthy place in PEPE that resulted in a lack of $858,580. The entire drawdown over the seven days reached $60 million.
In a Might 26 put up, he lastly acknowledged the setback, however famous that regardless of the losses, he nonetheless held a $25 million revenue from an authentic base place of $3-4 million. However this determine marked a pointy drop from his earlier peak of $87 million.
On Might 29, Lookonchain and Arkham Intelligence reported that Wynn suffered a lack of $100 million over the course of the week. Unfazed by the losses and fueled by his drive to make a billion {dollars} in revenue, the dealer initiated a second $100 million leveraged place on Bitcoin. However issues didn’t final lengthy, as he was liquidated for the remaining 770 BTC, value round $80.5 million, at a liquidation worth set at $104,035. This led to Wynn dropping the $25 million revenue he was initially holding.
Information additionally confirmed that the dealer suffered an unrealized lack of almost $1 million on his 40x Bitcoin lengthy place. Following the liquidation, Wynn took to X, alleging that the market was manipulated in opposition to him, searching for donations to show the conspiracy.
Accusations Towards Wynn
The dealer has confronted heavy criticism over his promotional actions, notably involving low-cap cryptocurrencies. Wynn had promoted tokens like ELON and WYNN, which collapsed shortly upon launch. He was additionally alleged to have obtained 2% of the Child Pepe token provide from the workforce as a part of his advertising efforts, solely to shortly promote all his tokens and take revenue.
He was additionally tied to the controversy surrounding the Solana-based MOONPIG memecoin, for which he’s accused of shopping for 3% of the overall provide to pump its worth to an all-time excessive. He later offered off his shares, which some declare induced MOONPIG’s worth to break down dramatically.
Regardless of these accusations, he denies any wrongdoing and claims to be solely an investor and never concerned within the improvement of market-making for any cryptocurrency mission.
Additionally Learn: Andreas Antonopoulos: The Veteran In Blockchain Applied sciences
Ultimate Ideas
Following Wynn’s $100 million liquidation, Binance co-founder and former CEO Changpeng “CZ” Zhao proposed the thought of a darkish pool perpetual swap decentralized change (DEX) that he claims might probably counter market manipulation techniques.
The whale, who was as soon as celebrated as a visionary, now faces critical questions on his buying and selling strategies and selections in a market that doesn’t forgive missteps. Because the crypto market strikes forward, fanatics are carefully watching Wynn’s subsequent strikes.
