Whale Trader Linked to Fraudster Sparks Leverage Concerns on ETH, BTC, and GMX

Blockchain investigator ZachXBT has alleged that a trader, suspected to be convicted fraudster William Parker, executed highly leveraged positions on HyperLiquid and GMX to net nearly $20 million in profits. The investigation traced on-chain transactions from a whale trader to a wallet linked to Parker, known for his history of hacking and gambling-related crimes. The trader reportedly opened a 50x leveraged long position on ETH and BTC just prior to a significant crypto reserve announcement by Trump, and a 40x leveraged short on BTC. The analysis also revealed connections to multiple counterparties, including major platforms such as Binance, Roobet, and Alphapo, and noted funds originating from a phishing scam and an exploited casino game. This revelation highlights the risks associated with excessively leveraged trading and the potential for fraudulent activities within the crypto ecosystem.