What is Hyperliquid?
Hyperliquid is a high-performance decentralized perpetual futures exchange commanding over 70% of the DeFi perps market. Instead of standard AMM-based models, Hyperliquid employs a fully on-chain, centralized-style order book, delivering low latency, deep liquidity, and fees rivaling centralized exchanges.
The platform runs on a custom Layer 1 blockchain purpose-built for trading, utilizing the HyperBFT consensus for sub-second finality and significant throughput. Its architecture integrates HyperEVM, an Ethereum-compatible environment enabling smart contracts and DeFi apps within one unified ecosystem.
Hyperliquid Futures Fee Schedule
Hyperliquid has a tiered fee structure based on 14-day trading volume. Users with no volume pay a taker fee of 0.045% and a maker fee of 0.015%.
As volume increases, fees decrease, with Diamond tier users (over $500M in volume) paying 0.026% for takers and 0.000% for makers. Staking HYPE tokens provides additional discounts, with Diamond stakers receiving up to 40% off. Hyperliquid also offers maker rebates, with up to a -0.003% rebate at Tier 3 for users contributing over 3% of the maker volume.
Hyperliquid Regulation & Licensing Explained
Hyperliquid is a decentralized exchange deployed on its own Layer-1 blockchain, HyperEVM, and currently operates without regulatory licenses or oversight.
Where is Hyperliquid Available?
Despite referring to itself as a decentralized exchange, Hyperliquid restricts access from several jurisdictions to maintain compliance with global regulations. Restricted countries include the United States, Cuba, Iran, North Korea, Syria, and specific Russian-occupied regions of Ukraine. Users should confirm their eligibility by reviewing Hyperliquid’s Terms of Service.
Is Hyperliquid Safe and Legit?
Hyperliquid is generally safe and legitimate, benefiting from a fully on-chain, non-custodial architecture that ensures users retain custody and transparency over their assets. Built on a custom Layer 1 blockchain utilizing HyperBFT consensus, it provides secure, high-performance trading with near-instant transaction finality.
However, its liquidity vault, HLP, carries inherent risks, highlighted by a recent incident where validators manually intervened in response to an exploit involving liquidation mechanics. While this raised concerns around decentralization and vault-related risk, Hyperliquid itself has not been directly hacked.
Overall, the exchange maintains a solid security track record and continues refining its risk management practices.