Brother Ma Ji gets liquidated again! Lost 1.75 million USD in a week, only 150,000 left in the account after the big gamble.

The wave of virtual money dumping continues. Well-known crypto world investor “Big Brother Maji” Huang Licheng lost approximately 1.7 billion New Taiwan Dollars in the largest liquidation event in history on the 10th of last month and continues to open contracts to increase his long orders. According to on-chain data, Huang Licheng's Ethereum ETH and HYPE long orders were partially liquidated again on November 3, resulting in a realized loss of 135,000 USD.

A Review of the Largest Liquidation Event in History: 19.2 Billion USD

The wave of dumping in the virtual money market continues, with the largest liquidation in history occurring on the 10th of last month, where cryptocurrency contracts worth up to $19.2 billion were liquidated within 24 hours, severely affecting global virtual money investors, including many celebrities. The trigger for this liquidation event was Trump's announcement of a 100% tariff on Chinese imports, which caused severe turbulence in the global financial markets, with the cryptocurrency market being the first to be hit.

A liquidation scale of 19.2 billion USD is extremely rare in the history of cryptocurrencies, second only to the “519 incident” in May 2021. Liquidations of this scale typically occur in extreme situations where market leverage is extremely high and liquidity suddenly dries up. When prices begin to fall, high-leverage positions are first forcibly liquidated, and the selling pressure generated by these liquidations further lowers prices, triggering the next round of liquidations and creating a vicious cycle.

Taiwan's well-known crypto world investor “Brother Maji” Huang Licheng lost approximately 1.7 billion New Taiwan Dollars in just 20 days during his last Get Liquidated event. This scale of loss is astronomical for ordinary investors, but for Huang Licheng, who has a net worth of several billion, it is serious but not fatal. What is more noteworthy is that after experiencing such a huge loss, Brother Maji still chooses to continue opening contracts to increase his long order position, a strategy that has sparked polarized opinions in the market.

ETH and HYPE Dual Liquidation Details Breakdown

(Source: Hyperliquid)

According to reports, Majia Brother's Ethereum and HYPE long orders were partially liquidated again at noon today, resulting in a realized loss of $135,000 (approximately 4.15 million New Taiwan Dollars). This liquidation involved two different positions, indicating that Majia Brother adopted a diversified go long strategy, but this diversification did not mitigate risk during the market downturn; instead, it exacerbated the losses.

Using 25x leverage on Ethereum positions is an extremely high-risk operation. 25x leverage means that a mere 4% drop in the price of Ethereum will trigger a liquidation. This high leverage operation can amplify profits in a bull market but is easily swept away in a choppy market. Currently, the price of Ethereum hovers around $3,754, while the liquidation price for Mahji's ETH long order is $3,723, meaning that a drop of less than 1% will trigger liquidation again.

HYPE position used 10x leverage, which is relatively conservative but still highly risky. HYPE is the native token of Hyperliquid, and as a small market cap coin, its price volatility far exceeds that of mainstream coins. 10x leverage means that a 10% drop in HYPE's price will result in a Get Liquidated, while a 10% daily fluctuation in HYPE is normal. Brother Ma Ji also actively closed approximately 33,000 HYPE long orders, realizing a loss of 108,000 USD (about 3.3 million New Taiwan Dollars).

Detailed liquidation data of Brother Maji this time

(Source: Hyperliquid)

ETH long order liquidation loss: 135,000 USD (approximately 4.15 million New Taiwan Dollars)

HYPE Active Closing Loss: $108,000 (approximately NT$3.3 million)

ETH Remaining Position: 1,632 coins, unrealized loss of $235,000 (approximately NT$7.2 million)

ETH Liquidation Price: $3,723 (Current Price $3,754, only 0.8% away)

Account Net Value Change: Plummeted from 1.9 million USD to 149,000 USD (a 92% drop in one week)

As of now, Brother Maji's account still holds a long order of 1,632 ETH, with an unrealized loss of 235,000 USD (approximately 7.2 million TWD), and the liquidation price is 3,723 USD. In just one week, Huang Licheng's account has dropped from a net worth of 1.9 million USD to only 149,000 USD. This means that within a week, his account's net worth evaporated by 92%, leaving less than 1/10 of the original amount.

Responses from Users Representing the Get Liquidated from the Crypto World Legend

Despite constantly getting liquidated, seeing Brother Maji continue to go long in the crypto world, he went from being a “legend in the crypto world” to the “representative of liquidation” overnight. Netizens initially laughed at him as a “leek” and joked about his past movie lines “there's only one XX left” as a meme. However, seeing that he still has faith in the future rebound of the crypto world, they began to feel a sense of respect.

“Having 2 billion can be equivalent to spending 200,000, how enviable!” This comment highlights the fundamental difference between Brother Ma Ji and ordinary investors. For someone with a net worth of billions, 1.9 million dollars might just be a small part of their assets. A 92% loss, while severe, does not affect their lifestyle. This scale of wealth allows him to take on risks unimaginable to the average person and continue gambling under extreme leverage.

The comment “I have lost, but I have never been afraid” reflects the “never give up” image that Brother Machi has built in the crypto world. Huang Licheng's successful investments in the NFT space in the past earned him the title of “Brother Machi,” and the Machi X platform he founded was once one of the largest NFT platforms in Asia. However, the transition from NFTs to contract trading has clearly not gone smoothly, as consecutive liquidations show that he may have underestimated the risks of the derivatives market.

The teasing remark “He seems to be very skilled at martial arts” references his past film and television works, transforming serious investment losses into an entertainment topic. This reaction shows the complex attitude of the Taiwan crypto world community towards celebrity investors: there is both envy of their wealth and boldness, as well as skepticism about their decisions, along with a spectator mentality that enjoys the drama without concern.

Additionally, some netizens have expressed that “I have started to suspect he has another small account for hedging.” This kind of speculation is not entirely unfounded. Some professional traders will go long on a public account while shorting on a private account to hedge, ensuring overall profits regardless of price fluctuations. However, if this is indeed the case, why would Brother Maji publicly display the tragic situation of getting liquidated? This could be to maintain community influence, or it could simply be a straightforward long bet.

A Devastating Warning for High-Leverage Contract Trading

The Financial Supervisory Commission reminds that the prices of virtual assets fluctuate dramatically, and investors should not easily believe in claims of “guaranteed profits with no losses,” nor should they excessively leverage their operations. The case of Brother Majie provides the most vivid footnote for this warning. The 25x leverage long order on ETH and the 10x leverage long order on HYPE have no margin for error during severe market fluctuations.

The essence of leverage trading is to amplify risks and returns. A 25x leverage means that just a 4% adverse fluctuation can result in a total loss of principal. In the cryptocurrency market, it is common for mainstream coins like Ethereum to fluctuate by 5% within a day, while smaller market cap coins like HYPE can experience daily fluctuations of 20%. Using high leverage in such a volatile environment is akin to walking a tightrope without a safety net.

Even more dangerous is the “averaging down” strategy. When prices fall, many traders choose to increase their positions to lower their average cost, hoping to recover their investments faster once prices bounce back. However, this strategy is extremely risky in a high-leverage environment because each additional position increases the overall risk exposure. If prices continue to drop, losses will accumulate at a faster rate. Brother Ma Ji went from a loss of 1.9 million USD to 150,000 USD, likely as a result of multiple averaging down attempts.

For ordinary investors, the case of Brother Magic provides valuable lessons: never use leverage beyond your capacity, never blindly increase your position when in loss, and never bet all your funds in a single direction. The cryptocurrency market is full of opportunities, but the premise is to survive long enough to wait for those opportunities to arrive.