GM. This is Dumb Money, the support group your portfolio didn't know it needed.
Thursday was historic. Not in a good way.
The Dow dropped 1,800 points. The Nasdaq entered correction territory. Bitcoin fell below $76,000. And one crypto trader managed to get liquidated eight separate times in one week.
Three stories. One involves 201 Bitcoin vanishing into the liquidation engine. One involves a political stock that aged like milk overnight. One involves a DNS hijack that turned DeFi websites into ATMs for hackers.
Here's what we've got today:
🏆 Liquidated eight times in a row. 201 BTC gone. $15.6 million.
📉 DJT on 2x margin before midterms. The red wave was a red flag.
🔒 12 DeFi sites DNS-hijacked. 32 wallets drained. $202,000 gone.
🤣 Dumb memes from the trenches.
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| TODAY'S DAMAGE REPORT 📊 | |||||||||
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LOSS OF THE DAY 🏆
Every day we crown one person who made the worst financial decision on the internet.
Today's winner didn't make one bad decision. He made eight.
Here's the setup. A crypto trader on Hyperliquid opened a leveraged long position on Bitcoin somewhere above $80,000. The market was selling off. AI stocks were getting destroyed. Bitcoin was following equities down.
He went long anyway.
Bitcoin dropped. He got liquidated. Most people would stop there. This person did not stop there.
He opened another position. Same direction. Same leverage. Got liquidated again. Then again. Then again. Eight times total.
According to Lookonchain, the total damage was 201 BTC. At the time of the final liquidation, that's approximately $15.6 million.
For context: over 207,000 traders were liquidated on November 5 alone. The total wipeout across crypto exchanges was $1.06 billion in 24 hours. This one person accounted for roughly 1.5% of all the carnage.
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TOTAL LOSSES (8 LIQUIDATIONS) -$15.6M ▼ 201 BTC - LIQUIDATED 8x 1D 1W 1M 3M ALL | ||||||||||||||||||||||||
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"Went long BTC eight times this week. Got liquidated eight times this week." Every time I was sure this was the bottom. Every time it wasn't the bottom. Started above $80k, kept adding on the way down. My conviction is not the problem. The market is the problem. Top comment: "Brother the market gave you eight chances to stop. That is the most patient liquidation engine in history."
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| Quick primer on liquidation: When you trade with leverage, you're borrowing money to make a bigger bet. If the price moves against you past a certain threshold, the exchange closes your position and keeps your collateral. Getting liquidated once is a bad day. Getting liquidated eight times is a pattern. |
The market didn't trick him. It told him eight times. He just kept asking it the same question.
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TODAY'S CASUALTIES 💀
Not everybody can be Loss of the Day. But these two gave it a real shot.
Let's run through the tape.
Casualty #1: The Midterm Margin Trader
DJT closed at $4.49 on November 4. Down 24.5% in a single session. Down 94% from its 2024 peak of roughly $79.
The catalyst was the midterm elections. Democrats flipped Congress in an upset. DJT investors had been betting on the opposite outcome for months.
One trader on a stock forum had a simple thesis. Red wave incoming. DJT rallies on the result. He bought 5,000 shares on 2x margin at $11.30. Cost basis: $56,500.
The red wave did not arrive.
His 5,000 shares went from $56,500 to $22,450 before the margin call hit. Total loss after forced liquidation: $34,050.
Here's the thing. Trump Media posted a $238.1 million net loss in Q2 2026. On revenue of $1.7 million. That is a company burning $140 for every single dollar it earns.
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TOTAL RETURN -$34,050.00 ▼ MARGIN CALL - FORCE SOLD 1W 1M 3M YTD ALL | ||||||||||||||||||||||||
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"Bought 5,000 DJT on margin. The thesis was simple: red wave, stock moons." Margin call came in at 7am. Broker sold everything. Looking at a $34,050 hole and a thesis that no longer exists. Top comment: "You didn't buy a stock. You bought an election bet with 2x leverage and no hedge."
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The stock is down 94% from its peak. The thesis required a political outcome. The political outcome went the other way. That's not investing. That's a bet.
Casualty #2: The Halloween DNS Heist
This one happened on October 31. Fitting.
Attackers compromised DNS records at Name.com, a domain registrar used by multiple DeFi projects. Twelve websites had their DNS hijacked simultaneously.
Instead of loading the real site, visitors got a page that looked identical but contained a wallet drainer toolkit called Step Drainer.
One user connected their wallet to what they thought was Kintsu, a liquid staking protocol. Approved a routine transaction. Watched $41,200 leave in under 30 seconds.
Across all 12 compromised sites, the attackers drained $202,000 from 32 wallets on six different blockchains. Most of the stolen funds ended up on Monad.
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WALLET BALANCE -$41,200.00 ▼ DRAINED - 30 SECONDS 1H 4H 1D 1W ALL | ||||||||||||||||||||||||
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| DNS hijacking explained: Every website has a domain name that points to a server. When hackers compromise the registrar that manages those pointers, they can redirect a legitimate URL to a fake server. The URL in your browser looks correct. The site looks identical. But every transaction you approve goes to the attacker's wallet. |
He did everything right except verify one thing he had no way to verify. That's the part worth understanding.
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DUMB MEMES 🤣
Every newsletter needs a meme section. Ours just hits different when you're reading it from a portfolio that's been liquidated eight times.
💰→📈→💡→📉→🚨→💰→📈→📉 (deposit → long → conviction → liquidation → repeat x8) |
🗳→📰→📉→📞→💸 (election → results → stock crash → margin call → gone) |
the midterm margin trader's Tuesday night, in five acts
If you laughed, you're coping. If you didn't laugh, you're probably in the screenshots.
See you tomorrow. Same losses. Different people. Exact same mistakes.
