Arkham said a further 0.35% gain in the index would trigger the trader’s next liquidation, extending a career record of more than 200 liquidations tied to extreme leverage.
James Wynn was liquidated twice in 24 hours while shorting S&P 500 perpetual futures (derivatives with no expiry), losing $982,000 and pushing his career total to more than 200 liquidations. Arkham, an on-chain intelligence firm, flagged the losses on July 1 and said another 0.35% rise in the S&P 500 would trigger his next liquidation. The episode underscores how extreme leverage can quickly wipe out positions when markets move only modestly against a trader.