Trader Rune: The PaperTrade documentation mentions the risk of a "loophole" in price manipulation at the protocol level regarding BBO

Cryptocurrency trader Rune stated on platform X that the official documentation of PaperTrade has disclosed a "vulnerability" risk in the pricing mechanism at the protocol level. According to the screenshots of the displayed documents, attackers can exploit the Best Bid and Offer (BBO) of the Hyperliquid order book for price manipulation. This risk involves unresolved price manipulation pathways, contract economic mechanisms, risk exposure control, as well as operational protective measures and permission management mechanisms.

In addition, Rune also forwarded a tweet from community user boblob, which revealed that two wallets are suspected of actively exploiting "attacks" on the PaperTrade platform, causing slight fluctuations of about 10-20 basis points in the ETH price on the Hyperliquid platform through trades totaling approximately 20 million dollars. Boblob further added that the current obvious issues with the PaperTrade protocol need to be fixed as soon as possible, or it may affect the long-term sustainability of the protocol.