Hyperliquid is a decentralized perpetuals exchange operating on its proprietary high-performance Layer 1 blockchain, Hyperliquid L1. Its goal is to deliver a trading experience comparable to centralized exchanges while maintaining the transparency and security inherent in decentralized finance (DeFi).

Development Timeline and Milestones
Launched in 2023, Hyperliquid has rapidly evolved to become a significant player in the DeFi space. The platform’s development has been marked by several milestones:

• 2023: Launch of Hyperliquid, introducing a decentralized platform for perpetual contract trading with fast on-chain execution, low fees, and deep liquidity.
• November 29, 2024: Token Generation Event (TGE) and airdrop of the native HYPE token, distributing 31% of the total supply to early supporters and active users.
• December 2024: Listing of HYPE on major exchanges, including KuCoin, enhancing the token’s accessibility and liquidity.

Comparison with Other Decentralized Exchanges
Hyperliquid distinguishes itself from other decentralized exchanges through its unique features and infrastructure:

• Custom Layer 1 Blockchain: Unlike many DEXs that operate on existing blockchains, Hyperliquid utilizes its own Layer 1 blockchain, Hyperliquid L1, optimized for high throughput and low latency.
• On-Chain Order Book: The platform employs a fully on-chain order book for perpetual futures trading, ensuring transparent and efficient order matching based on price and time priority.
• High Leverage and Advanced Order Types: Hyperliquid supports leverage up to 50x and offers advanced order types, including take profit and stop loss, catering to both retail and institutional traders.
• Zero Gas Fees: Transactions on Hyperliquid are gasless, reducing costs and improving efficiency for traders.
• Permissionless Token Listings: Hyperliquid features a permissionless token listing process through a Dutch auction system, allowing projects to list tokens without incurring high fees typically associated with centralized exchanges.

Mission and Vision
Hyperliquid’s mission is to create a fully on-chain open financial system featuring user-built applications interfacing with high-performance native components, all without compromising end-user experience. The platform envisions an ecosystem of permissionless financial applications operating transparently on-chain, with block latency under one second and support for up to 100,000 orders per second.

Development Team and Community Engagement

The development team behind Hyperliquid is comprised of individuals with impressive backgrounds, including alumni from prestigious institutions such as Harvard, Caltech, and MIT, and professionals with experience in notable companies within the tech and financial sectors. This diverse and skilled team underscores the project’s commitment to innovation and excellence.

Hyperliquid emphasizes community-driven growth, avoiding allocations to venture capitalists or centralized exchanges. The platform’s tokenomics are designed to ensure that the community benefits from its growth and success.

HYPE Token Utility
The HYPE token is the native utility token of the Hyperliquid ecosystem, playing a central role in trading, staking, governance, and network security.

• Total Supply: 1 billion HYPE tokens.
• Distribution:
• Genesis Distribution (Airdrop): 31%.
• Future Emissions & Rewards: 38.888%.
• Core Contributors: 23.8%.
• Hyper Foundation Budget: 6%.

• Community Grants: 0.3%.

• Utility:

• Trading Fees: Use HYPE to pay for transaction fees on the Hyperliquid platform.
• Staking: Stake HYPE tokens to secure the network and earn rewards.
• Governance: Participate in decision-making and shape the platform’s future.

Highlights

• Hyperliquid is a decentralized perpetuals exchange built on its custom Layer 1 blockchain, Hyperliquid L1.
• The platform employs the HyperBFT consensus algorithm for high throughput and low latency.
• The HYPE token serves multiple roles, including staking, governance, and fee payments.
• Security is ensured through custom blockchain protocols and regular audits.
• Future developments include HyperEVM deployment and expanded trading features.