INSUBCONTINENT EXCLUSIVE:
Key takeaways:HYPE has surged over 300% since April, driven by growing usage of the Hyperliquid exchange and rising investor
interest.Hyperliquid now leads the decentralized perpetuals market, processing over 70% of DEX perp volume.97% of protocol fee revenue is
reinvested into HYPE buybacks, aligning token incentives with platform growth.Hyperliquid is having a moment
Since its local bottom in April, HYPE (HYPE) has surged over 300% in just two months, reaching an all-time high on Tuesday before easing
Meanwhile, the layer-1 blockchain it powers has quietly become one of the biggest players in DeFi.HYPE/USD 1-day price chart
Source: CoinGeckoThe numbers speak for themselves
Hyperliquid now ranks eighth among all blockchains by total value locked (TVL), with $1.75 billion locked, according to DefiLlama
asset.Momentum is building
Hyperliquid special?Launched in 2023 by Harvard classmates Jeff Yan and Iliensinc, Hyperliquid is one of the few major crypto projects to
while replicating the speed and convenience typically found on centralized platforms.In practice, the DEX does deliver a smooth experience,
with features such as one-click trading, direct deposits from over 30 chains, and access to spot, margin, and perpetual markets.Notably, it
design that favors efficiency but limits composability and crosschain interoperability
It also places considerable trust in the accuracy of price oracles and funding rate mechanisms.This DEX is built on the Hyperliquid
blockchain, a custom layer 1 using a variant of Byzantine fault tolerance (BFT) consensus called HyperBFT
The protocol relies on rapid, high-volume communication between nodes and claims to support up to 200,000 transactions per second.Yet, this
throughput comes at a cost: decentralization
reached a critical inflection point in November 2024, when daily trading volume jumped tenfold, from $2 billion to over $20 billion
It now boasts more than 500,000 users.Hyperliquid daily volume and users
Source: @x3research on Dune AnalyticsHYPE tokenomicsBuilding a great product is one thing
Monetizing it in a way that meaningfully benefits tokenholders is something else entirely.The HYPE token launched via airdrop in November
2024, distributing 31% of the total supply of 1 billion tokens to the users
So far, the most valuable airdrop in history, its value reached $11 billion just a month after
Currently, 334 million HYPE tokens boast a market cap of $12.4 billion, implying a fully diluted valuation of around $38 billion.HYPE serves
as both the gas token and governance asset of the Hyperliquid chain
It can be staked on-platform, either directly or through validation.Still, the question persists: Does holding HYPE offer long-term
trading but only 10% of Binance global volumes
The upside from closing that gap is massive, especially if the regulatory climate in the US improves.Perpetual protocol trade market share
Source: The BlockFurthermore, the HYPE supply is carefully managed
billion fully diluted valuation may be high, but not necessarily irrational, particularly for long-term holders who believe in the
P/E logic to crypto, and ETH or SOL whales rotating into what they see as the next dominant trading layer.Related: South Korea to
investigate fees of local crypto exchangesHyperliquid appears well-positioned to attract capital
Time and again, investors and users have favored centralized platforms for their convenience, only to be reminded later that
Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
