Hyperliquid Labs revealed as we speak the small print of two remark letters that it submitted to the U.S. Commodity Futures Trading Commission (CFTC) addressing perpetual derivatives and 24/7 buying and selling rules. Why did the platform take this regulatory method because the HYPE value hits a brand new ATH?
Why Did Hyperliquid Submit Letters to CFTC?
Hyperliquid Labs submitted two comment letters to the Commodity Futures Trading Commission in response to the regulator’s Requests for Comment on perpetual derivatives and 24/7 buying and selling. The platform principally wished to be a sensible instance of how decentralized finance ideas can handle regulatory considerations and likewise keep market effectivity and person safety.
The submission on 24/7 buying and selling highlighted Hyperliquid’s operational capabilities. This consists of steady liquidity by way of pre-funded collateral that removes reliance on conventional banking infrastructure. The platform’s automated liquidation system repeatedly reassesses margin necessities with each commerce and oracle value replace. This additionally addresses collateral administration considerations raised by the CFTC.
The following publish is from Hyperliquid Labs
Hyperliquid Labs is dedicated to the development of defi and its promise in delivering a extra open, clear, and environment friendly monetary system for all. As a contributor to the Hyperliquid blockchain, we imagine in defi’s capacity not…
— Hyperliquid (@HyperliquidX) May 23, 2025
Regarding perpetual derivatives, Hyperliquid emphasised the benefits of on-chain implementation. The platform advocated for a principles-based regulatory method specializing in threat profiles and client safety quite than fastened classifications that might restrict innovation.
The firm expressed dedication to being a constructive accomplice with regulatory our bodies and likewise helps the United States’ place as a pacesetter in monetary innovation. Hyperliquid’s letter submission comes at a time when Bitcoin has hit a brand new all-time excessive and is at risk of crashing to $100k.
HYPE Price Hits New ATH
HYPE token has reached a brand new all-time excessive of $35.9 and has continued its sturdy value surge. The token has proven positive aspects of 14.1% over 24 hours, 31.3% over 7 days, and 84.4% over the previous month. This value surge comes amid rising institutional consideration, regulatory strikes and high-profile endorsements from cryptocurrency business figures.
Beast mode$HYPE pic.twitter.com/cejogf9m07
— Arthur Hayes (@CryptoHayes) May 22, 2025
Arthur Hayes, former BitMEX CEO, has been significantly bullish on HYPE. He just lately bought $2 million price of tokens once they have been buying and selling at $14.6. Hayes has maintained his prediction that HYPE could reach $100 per token. This prediction comes amidst dealer James Wynn’s huge leveraged buying and selling place on Hyperliquid and known as it one of the best commercial for the platform.
The former trade government has continued to indicate assist for the token. He posted a HYPE chart few hours in the past and known as it “Beast Mode.” Hayes’ $100 value goal suggests he sees substantial upside potential from present ranges.
Whale Lost $23.5M Post Price Surge
A significant whale investor has suffered losses making an attempt to quick HYPE tokens in the course of the current value surge. The whale, recognized by pockets handle 0x20B1, was pressured to capitulate and shut all HYPE quick positions roughly two hours after the token’s rally intensified. This resulted in a $23.5 million loss.
According to Lookonchain information, this investor had been persistently betting towards HYPE since April 29. The whale additionally deposited a complete of 30.5 million USDC to Hyperliquid to keep up quick positions with 5x leverage. However, the upward value motion ultimately pressured the liquidation of those positions and the whale is left with solely $6.98 million remaining from the unique capital.
Analyst Ansem has drawn parallels between HYPE’s present value motion and early Solana in 2021. He famous similarities in the fractal patterns. Ansem factors out that whereas Solana partnered with FTX, Hyperliquid operates with HyperCore and HyperEVM as a totally on-chain perpetual trade, with roughly 97% of income flowing instantly again to token holders.
Vignesh Karunanidhi
Vignesh Karunanidhi is a seasoned crypto journalist with almost 7 years of expertise in the cryptocurrency business. He has contributed to quite a few publications, together with WatcherGuru, BeInCrypto, Milkroad, and authored over 10,000 articles
Disclaimer: The introduced content material could embody the private opinion of the creator and is topic to market situation. Do your market analysis earlier than investing in cryptocurrencies. The creator or the publication doesn’t maintain any accountability for your private monetary loss.
