Abraxas Capital, a digital asset management firm based in London, has reported a realized profit and loss of $303.9 million on the Hyperliquid decentralized exchange. The firm achieved a 177% return on investment over a 30-day period ending May 4, 2026, positioning it among the top performers on Hyperliquid's leaderboard. During the week of May 3 to May 10, Abraxas recorded $20.3 million in profit and loss. The firm's strategy primarily involves shorting digital assets such as Ethereum and Hyperliquid's native HYPE token, alongside commodity-linked positions in oil and gold. As of May 6, Abraxas held a $22 million short position on gold. The firm has also accrued $2.7 million in cumulative funding income, benefiting from positive funding rates where long positions pay short positions. Despite its success, Abraxas experienced a net loss of $360,000 on a $130 million short position in Brent crude oil in April 2026. This highlights the risks associated with funding rate arbitrage and short strategies, especially as institutional participation on Hyperliquid grows, potentially compressing funding rates and increasing the likelihood of short squeezes.