Why Trading Against James Wynn Could Be Dangerous

James Wynn is a name familiar to many crypto enthusiasts. He's a trader who regularly takes massive positions on the on-chain platform Hyperliquid. But what he's truly famous for are his liquidations - they happen almost every single day.

I actually think he's an incredibly talented trader. No one else seems to nail the wrong direction of the market so consistently.

I once saw a "genius idea" on a forum:

• If an exchange blocks withdrawals but still lets you trade, just open opposite positions there and on another exchange. When the market moves, one position will get liquidated, but the other will double.

The flaw, of course, is obvious - no one knows where the price will go. So instead of freeing your funds, you might end up sending even more into the blocked account.

On that forum, I never saw a single person who actually succeeded with this scheme. But James Wynn seems to pull it off again and again - and all of it is visible on-chain for anyone to verify. I mean, come on, it can’t be that such a talented trader is constantly burning through his USDC! Much more likely, he’s losing them in these trades while profiting from opposite ones elsewhere.

At first glance, it looks like a simple opportunity: all of his positions are transparent on-chain, so why not just trade against him and scoop up his funds? But that’s exactly the catch - he’s offloading assets he doesn’t want, while getting others he actually needs from mirrored trades on different platforms.

That’s where the real risk of trading against Wynn lies: you never know what kind of tokens you’ll actually end up with. And moving “tainted” crypto around later can be a nightmare.

At rabbit.io, we don’t accept crypto that’s flagged as “tainted.” Which also means you can trust that you’ll never receive such crypto from us.