Hype is soaring as interest in Hyperliquid’s DEX grows, both from institutional investors and retail investors. The focus has been on Hyperliquid’s HIP-3, which has surpassed $935 million in value and a trading volume exceeding $25 billion.
Hyperliquid’s growth is centered on the interest of companies and institutions in HIP-3, which allows developers to create permissionless perpetual DEXs for cryptocurrencies and traditional assets. This capability fueled record trading volume and commission generation.
For customized markets with selectable oracles and leverage, HIP-3 completely transformed the market landscape, making Hyperliquid a central player in tokenized commodities, equities, and cryptocurrencies. An example of this growth is the record-breaking silver perpetual tokens that traded over $1 billion in just a few days.
Reports indicate that Paradigm backed HYPE with an investment commitment of $581 million. Hyperion DeFi, listed on Nasdaq, holds approximately 1.4 million HYPE tokens. Its CEO, Hyunsu Jung, said that Hyperliquid is the key to the convergence of this type of asset and its key role in tokenization to expand markets.
The sustained growth of Hype and the interest in Hyperliquid
One of the biggest obstacles facing Hyperliquid is regulatory exposure, which continues to limit the company’s reach. Hyperliquid does not require KYC and excludes US residents, a combination that could raise concerns about further investment and hinder institutional adoption.
High leverage and concentrated staking are additional vulnerabilities during a correction. Other operational limitations include the 500,000 HYPE stake required to deploy HIP-3 markets and a temporary 90% fee reduction used to boost liquidity.
Investors and treasuries should treat the current rally as a function of product adoption and concentrated flows rather than a genuine market sentiment. Attention will now shift to proof of execution, such as listings on major exchanges, and whether the fee-to-buyback loop holds once volumes normalize.
For traders, the path ahead will be determined by on-chain performance, regulatory signals, and whether traditional tokenized asset markets continue to offer the high turnover needed to justify current valuation dynamics.
