Hyperliquid co-founder Jeff denies ADL's claim of "eliminating $653 million in PnL".

Recently, some have claimed that the ADL mechanism transfers profitable positions to the platform's insurance fund free of charge, such as Hyperliquid's HLP liquidity pool, thus "donating" user profits. In response, Hyperliquid co-founder Jeff stated that these claims are untrue. ADL does not transfer PnL to HLP and is unrelated to any form of behind-the-scenes liquidation. HLP is treated symmetrically with users in the mechanism. He also denied the claim that ADL "eliminated $653 million in PnL," stating that such accusations stem from a misunderstanding of the mechanism. He criticized some commentators for using technical jargon to package false information and warned the industry to be wary of misleading statements.