A well-known investor plays with high leverage on a leading derivatives platform, repeatedly testing the brink of liquidation, and millions of dollars just disappear like that. Strangely, after each liquidation, he immediately replenishes the margin and continues betting. What is the underlying logic behind this?

In summary, his capital chain is divided into three layers:

**Basic Capital** — Early successful entrepreneurship, obtaining real cash flow from traditional tech companies. This money acts like a lifeline, supporting him to withstand short-term massive losses.

**Crypto Accumulation** — Early involvement in projects like Mithril, Cream Finance, accumulating a significant amount of crypto assets in the initial token phases. Wealth built through time and luck.

**Liquidity Engine** — Holding blue-chip NFTs (such as BAYC), continuously converting assets through large-scale sales, airdrops, collateralized loans, and other operations, constantly exchanging for ETH and stablecoins, providing a steady flow of liquidity for leveraged trading.

This cycle sounds perfect, but the problem is: even with sufficient capital, a 4% decline at 25x leverage can wipe everything out. This is not a game rule that ordinary retail investors can replicate.

The two most important lessons are: losses are actually in highly liquid trading reserves, not the entire net worth; in the face of structural risks of high leverage, no one can be completely immune. Surviving in the crypto world is more valuable than getting rich overnight. Ask yourself — are you creating liquidity, or are you being used as liquidity?