Machi Big Brother Account: How 10x leverage on HYPE led to million-dollar losses

The Machi Big Brother trading account has become a warning example of the dangers of extreme leveraged trading in the crypto ecosystem. Currently, the account holds only $7,996 in cash, but this figure vividly illustrates the scale of losses incurred. Over the past month, amid highly volatile positions, the trader lost a staggering $3.37 million.

Critical Account Status: Extreme Position on the Verge of Collapse

According to data from NS3.AI, the account holds a 10x long position on HYPE (Hyperliquid). Although the floating profit of the position is $4,692, this figure remains insignificant compared to the total losses. As of February 9, 2026, HYPE is trading at $31.46, showing a 29.56% increase over the last month, but this did not save the account from serious trouble. The situation demonstrates a critical disconnect between short-term price fluctuations and the long-term impact of leveraged positions.

Why High-Leverage Positions Are So Dangerous

Using 10x leverage means that every 10% price fluctuation of the asset results in a 100% change in the trader’s capital. In the case of Machi Big Brother, millions in losses intensely remind us that leverage is a double-edged sword. While explosive growth is possible, it is just as easy to lose all capital during market corrections. This case clearly illustrates how ambitious trading positions can turn into financial disasters, especially when crypto market volatility combines with aggressive position sizing.

The Machi Big Brother account remains a valuable lesson about the importance of risk management in crypto trading.