The risks
Last updated 31 October 2026
Melyon makes trading easier. It doesn’t make it safer. Only trade with money you can afford to lose completely, and read this before you start a strategy with real money.
You can lose everything you put in
Every product Melyon trades can fall in value fast. A strategy that looked good on past data can lose money for weeks, or all at once. Every run trades real money from your own accounts.
Leverage and liquidation
With 20× leverage a 5% move against you wipes out the position, and Hyperliquid closes it before that, at the liquidation price. Higher leverage means a smaller move does it. A stop at −20% on the position is a 1% price move at 20×, so it can trigger on ordinary noise. Funding also costs or pays you every hour you hold a perp.
New tokens on bonding curves
Most new tokens go to zero. Anyone can launch one on Pons, including people who plan to sell on the buyers straight away. A token on a bonding curve can have very little money behind it, so a small trade moves the price a lot, and the creator or a few early wallets can dump and leave you unable to sell at any useful price.
Melyon checks token buys for some warning signs, such as thin liquidity or a few wallets holding most of the supply. By default a failed check only warns you; it blocks the buy only if you ask for that. Checks can’t catch everything: liquidity can vanish, prices can gap past your stop, and a token can be impossible to sell.
Stock tokens and stock perps
A Robinhood Stock Token is a token issued by a Robinhood entity. It is not the share itself and not a Robinhood brokerage account. Its value depends on that issuer and on there being buyers on Robinhood Chain when you want to sell.
Stock perps on Hyperliquid follow a stock’s price but give you no share at all. They carry the same leverage and liquidation risks as any perp.
Prediction markets
An outcome share is worth $1 or nothing when the market settles. Markets can be thin, so selling early may only be possible at a much worse price.
Copy trading
The wallets, Hyperliquid accounts and X accounts you copy can be wrong, can trade in bad faith, or can post a call to sell into the people who follow it. Melyon copies after they act, so you usually get a later and worse price than they did.
Rules don’t always do what you meant
The AI drafts rules from your words and can misread them, get a number wrong or leave out a condition you thought was obvious. Read every rule before you start, start with a small amount, and watch the first trades.
Stops are not guarantees
A stop sells at the next available price, which can be worse than the stop in a fast market. Stops on Hyperliquid sit on the venue and keep working if Melyon is offline. Stops on Robinhood Chain tokens are watched by Melyon, so they wait while Melyon is down.
Smart contracts, bridges and wallets
Robinhood Chain, Uniswap, KyberSwap, Pons and Hyperliquid all run on smart contracts, and smart contracts can have bugs or be hacked. Moving money onto Robinhood Chain or Hyperliquid usually goes through a bridge, and bridges have been hacked before. Your wallet is only as safe as the way you sign in, so protect your email and any wallet you link.
Outages and bad data
Venues, networks, Privy, Anthropic, data providers and Melyon itself can go down or slow down. Prices and on-chain data can arrive late or be wrong. When that happens a strategy can act on bad numbers, miss a trade or trade late.
Rules and taxes
Laws on crypto, derivatives, tokenized stocks and prediction markets differ by country and change often. Trading can be taxable. You are responsible for both. See the terms for who can use Melyon.