Crypto's Worst 2025 Wipeout: Prominent KOL Loses 99.92% of AssetsCrypto's Worst 2025 Wipeout: Prominent KOL Loses 99.92% of Assets

Machi Big Brother Suffers Liquidation: $43.6M Portfolio Evaporates to $32.8K

2025/10/17 07:30

According to blockchain analytics platform Lookonchain, prominent crypto influencer "Machi Big Brother" suffered a devastating liquidation today, with his portfolio value plummeting from $43.64 million to just $32,800—a loss of $43.61 million representing 99.92% asset evaporation.

Event Analysis

Industry experts suggest the extreme loss indicates the whale likely employed high-risk strategies:

  1. Extreme Leverage: Possibly 20x or higher
  2. Cross-Margin Mode: All assets used as collateral
  3. No Stop-Loss: Lack of effective risk controls
  4. Over-Concentration: Assets heavily concentrated in ETH longs

Market Impact

The liquidation event has multiple impacts on the crypto market:

Selling Pressure: Forced sale of 15,300 ETH added market pressure

Confidence Hit: Major losses by prominent figures damage market sentiment

Cautionary Tale: Becomes textbook example of leverage risks

Industry Reaction

Multiple crypto analysts warn investors that Machi Big Brother's case proves the enormous risks of leverage trading. One anonymous trader stated: "Using excessive leverage in volatile crypto markets is suicidal trading."

Investor Lessons

This event serves as a wake-up call:

  • ⚠️ Avoid excessive leverage
  • ⚠️ Always set stop-losses
  • ⚠️ Don't bet everything on one direction
  • ⚠️ Use isolated over cross-margin
  • ⚠️ Maintain adequate cash reserves

Ongoing Monitoring

Market analysts will continue monitoring this liquidation's impact on ETH price action and whether it triggers cascading liquidations. Regulators may also reassess risk management in crypto derivatives markets.

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