His reason can be found here:
Wynn wrote in a now-deleted post shortly before the liquidation:
“I do not follow proper risk management, nor do I claim to be a professional; if anything, I claim to be lucky. I’m effectively gambling, and I stand to lose everything. I strongly advise people against what I’m doing.”
Source:
https://cointelegraph.com/news/james-wynn-deactivates-x-account This dude must have been a lucky leverage trader that keep making money from the crypto market without knowing that luck is what kept him in the business for years now. Trading with high leverage can be a disaster when we get it wrong.
We can leverage on trades but it is better to leverage not more than 25X depending on the portfolio we are using. There are a lot of gamblers in the crypto market that keep leveraging with small portfolios and when they are lucky to make profits, they rejoice and influence those that don't understand the game making trading looks like it's easy to achieve. Just imagine a trader using $100 to trade the crypto market with 200x leverage. This is pure gambling but many would still don't understand the kind of loses this can bring is price goes down a little bit.