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In crypto trading, the promise of massive gains often comes with the risk of heavy losses. Over the years, several high-profile crypto traders have made headlines for their bold bets, only to see their fortunes crumble when the market turned against them. 

From Bitcoin (BTC) to Ethereum (ETH), the crypto market has proven to be a double-edged sword. Millions can be made or lost in just hours, and traders are left to deal with the fallout from their high-risk moves. Here are the stories of three crypto traders who wiped out millions:

James Wynn

James Wynn, a pseudonymous trader on Hyperliquid, has become one of the most discussed figures on crypto Twitter (now X) due to his high-risk, high-reward trading style.

Wynn started trading on Hyperliquid in March 2025. He amassed significant profits through his bold trading strategies.

“Since I began trading this year on HyperLiquid I have made a total profit of $41,696,589.75 (on-chain). Next goal is $1bn. Not for the money. But for the legacy. Unlikely I’ll do it this cycle unless I went max degen on shorting the top, which I’m probably the only person with this kind of wealth who’s willing to turn it up on 40x leverage and put a significant % on the line,” Wynn said on May 9.

The trader had several successful trades. On May 24, he booked a $25.18 million profit from a long position in kPEPE and $16.89 million from a long Bitcoin position. Other notable trades included a $4.84 million profit from Fartcoin (FARTCOIN) on May 13 and a $6.83 million profit from Official Trump (TRUMP) on May 12.

Wynn’s profits peaked at over $87 million in late May. However, this was short-lived, as the trades began to backfire soon after. Wynn faced a series of significant setbacks. 

On May 23, he lost $3.69 million from a long Ethereum position and $1.59 million from a Sui (SUI) long position. Two days later, on May 25, he suffered a $15.86 million loss from a short position in BTC. 

“James Wynn has wiped out almost all his profits on Hyperliquid. It took him 70 days to go from 0 to $87 million+ in profit, and only 5 days to lose almost all the $87 million+ in profit,” Lookonchain posted on May 28.

Despite losing it all, Wynn’s bets continued. The largest blow came on May 30, when a long BTC position resulted in a loss of $37.41 million. Wynn’s losses extended into May 31, with an additional $1.20 million lost from another BTC long position.

Finally, on June 5, Wynn lost $2.81 million on a BTC long position, bringing his total losses to $20.4 million.

“I closed my position. Defeated accepted. MM’s 1-0 Wynn,” he stated.

At the time of writing, Wynn’s performance showed a win rate of 40.48%, with 17 successful trades out of 42.

Anonymous ETH Whale

Wynn’s downfall is part of a larger trend, with other crypto traders also losing millions. In March 2025, an anonymous cryptocurrency trader, identified by the wallet address 0xf3F496C9486BE5924a93D67e98298733Bb47057c, suffered a staggering $308 million loss after a 50x leveraged long position on ETH was liquidated. 

The trader had opened the position when ETH was trading at $1,900, with a liquidation price of $1,877. However, amid heightened market volatility driven by global tariff concerns, ETH’s price plummeted, liquidating 160,234 ETH.

Lookonchain reported that the whale had rotated all their Bitcoin holdings into this leveraged ETH trade, amplifying the risk.

“Crazy! This whale has switched all of his long BTC positions to long ETH,” the post read.

Leveraged trading, which uses borrowed funds to magnify both gains and losses, proved disastrous in this case, as a small price movement wiped out the trader’s entire position. 

Meanwhile, the trader has not opened any positions on Hyperliquid since late March.

Hui Yi

While leveraged bets have led to massive financial losses, they have also tragically resulted in the loss of life. In June 2019, Hui Yi, the co-founder and CEO of the cryptocurrency market analysis platform BTE.TOP reportedly took his own life.

Yi’s distress was believed to be caused by his involvement in a failed 100x leveraged short position on 2,000 Bitcoins. The extreme leverage amplified his losses, making his position highly vulnerable to even minor price fluctuations.

There was also speculation that the 2,000 Bitcoins might have belonged to clients. Some even suggested that Yi may have faked his death to avoid repayment. However, no evidence supported these theories.

An ex-partner confirmed Yi’s death. This tragic incident highlighted the psychological toll of leveraged trading and the dangers of using excessive borrowed funds in the volatile crypto market.

The post Crypto Trading Gone Wrong: How These 3 Traders Wiped Out Millions appeared first on BeInCrypto.