Trade.xyz will cover eligible liquidation losses on Hyperliquid's SK Hynix perpetual contract after an external oracle anomaly caused the mark price to fall nearly 19 percent in a single print.
The SKHYNIX contract lets traders take leveraged exposure to SK Hynix, the South Korean chipmaker behind the high-bandwidth memory used in AI data centers. Trade.xyz operates these on-chain perp markets on Hyperliquid.
The mark price dropped to $917.25 from $1,127.90 at 23:01 UTC on Monday, July 28, 2026. Trade.xyz said its internal oracle functioned as designed during the incident and attributed the move to an executed trade relayed through an external price feed that fed into the mark price calculation.
The spike liquidated traders holding long positions. Trade.xyz said it will reimburse eligible affected users and is expected to release further details on eligibility criteria.
The incident exposes a structural risk in RWA derivatives: when off-chain equity prices are relayed through external oracles, a single anomalous execution can move the mark price enough to cascade into liquidations—even when the internal oracle stack is clean. For SKHYNIX and similar contracts, the external data relay proved to be the weak link.
Trade.xyz's decision to absorb losses sets a reference point for how RWA perp operators handle oracle failures. The harder question for the sector is whether redundant or volume-weighted external feeds can prevent a repeat across other tokenized equity contracts.
