Huang Licheng: The Meme Coin Pioneer Turned High-Risk Trader – A Crypto Cautionary Tale

Huang Licheng, better known as “Machi Big Brother” in Chinese crypto circles, has become a legendary yet cautionary figure in the volatile world of meme coins and leveraged trading. From his early days as a hip-hop artist to launching multiple high-profile projects that ended in controversy or failure, Licheng’s journey reflects the wild, high-stakes nature of crypto entrepreneurship. His recent $42 million paper loss in 2025 underscores the perils of aggressive speculation, serving as a stark reminder of the market’s unforgiving reality.

Early Days: From L.A. Boyz to Crypto Mogul

Huang Licheng rose to fame in the late 1990s as a member of L.A. Boyz, one of China’s first hip-hop groups, earning the nickname “Machi Big Brother” for his charismatic persona. After the group’s hiatus, he pivoted to entrepreneurship, founding 17 Media, a live-streaming platform that became a pioneer in China’s influencer economy. By 2017, Licheng entered crypto, leveraging his celebrity status to launch projects that initially drew massive attention but often ended in disappointment.

Crypto Ventures: A Trail of Failed Projects

Licheng’s crypto forays have been marked by ambition and setbacks:

• Mithril (2018): His social mining project raised millions but crashed post-launch, earning the “scythe” label for slashing investor value.
• Cream Finance (2020): The DeFi protocol faced multiple hacks, losing over $200 million, tarnishing Licheng’s reputation.
• NFT Heavyweight (2021): Licheng’s heavy bets on NFTs, including a 5,000 ETH loss in Blur’s point game, coincided with the market’s peak and subsequent bust.
• Boba Oppa (2024): The K-pop-themed meme coin raised funds quickly but zeroed out post-launch, epitomizing hype-driven failures.

These ventures, while innovative, highlighted risks in overleveraged launches and market timing, with Licheng’s 14.6% project stake often under scrutiny for dumps.

The 2025 Leverage Debacle: $42 Million Loss in 20 Days

Licheng’s latest chapter is a high-leverage trading saga on Hyperliquid, where his account peaked at nearly $60 million but unraveled over 47 days, leaving just $1,700 from a $15 million principal. Starting with ETH longs, he rolled profits into ASTER, PUMP, and HYPE, but sustained resistance and market dips triggered cascading liquidations. By October 9, losses hit $42 million, including $20 million from ETH positions alone. Despite a $220,000 recharge from QCP Capital, the whale’s aggressive 25x leverage amplified a 15.2% BTC drop to 303,000 trader wipeouts.

• Peak Value: $60 million account; 25x leverage.
• Loss Breakdown: $42 million in 20 days; ETH $10 million, altcoins $32 million.
• Liquidation: 1,590 ETH in 11 hours ($246,000 loss).

Lessons from Licheng’s Crypto Rollercoaster

Licheng’s story mirrors crypto’s “hype and crash” cycle: from viral fame to overconfidence, ignoring volatility and leverage risks. His “scythe” reputation, once a joke, now warns of meme coin pitfalls and DeFi exploits. Yet, his resilience—reopening ETH longs at $4,002—shows the allure of high-reward plays. In a $2.1 trillion market, Licheng’s 375% fund gains through March 2025 (beating BTC by 60%) highlight talent, but 2025’s $42 million wipeout stresses risk management.