The Strong Get Stronger: Everything You Need to Know About the Hyperliquid Ecosystem

By: blockbeats|2024/12/20 17:30:02

Original Article Title: Everything You Need To Know About Hyperliquid
Original Article Author: TxnSheng, Crypto Kol
Original Article Translation: zhouzhou, BlockBeats

Editor's Note: This article introduces Hyperliquid (an innovative decentralized exchange platform), which combines the efficiency of centralized exchanges with the transparency of blockchain to provide a faster, more secure on-chain trading experience. It also highlights Hyperliquid's technical breakthroughs, such as a dedicated L1 blockchain, HIP-1 and HIP-2 token standards, EVM compatibility, staking functionality, etc., and points out its community-driven approach and self-funded model, emphasizing the platform's unique value and future potential.

The following is the original content (reorganized for better readability):

A $1.2 billion airdrop, with 31% already distributed. Fully unlocked at TGE. HYPE had an initial price of $3.90 at launch, skyrocketing thereafter to a peak of $27 within two weeks. The growth in value showcases why Hyperliquid's airdrop is considered one of the most successful and valuable in crypto history. So, how did Hyperliquid achieve this? Why such immense attention? Let's delve into it.

The Strong Get Stronger: Everything You Need to Know About the Hyperliquid Ecosystem

The Team Behind HYPE

Hyperliquid Labs is led by Jeff Yan and Iliensinc, Harvard alumni dedicated to innovating on-chain transactions. The team members hail from top institutions such as Caltech, MIT, Citadel, Hudson River Trading, and Nuro. Starting in 2020 as a crypto market maker, they pivoted to DeFi in 2022 due to dissatisfaction with outdated, clunky platforms.

Hyperliquid Labs has always been completely self-funded, avoiding the influence of venture capital, focusing on one goal: to combine the efficiency of centralized exchanges with the transparency of DeFi.

Hyperliquid L1: Custom-Built for Performance

Hyperliquid's Layer 1 blockchain is not just another general-purpose chain; it is specifically designed for high-performance perpetual contract order book exchanges, utilizing a custom consensus algorithm called HyperBFT that chains the margin and matching engine state entirely on-chain. The result? Full decentralization while maintaining high speed. Imagine Binance but running entirely on-chain.

Why This Is Important:

Ultra-Responsiveness: Median latency of 0.2 seconds (99th percentile at 0.9 seconds).

High Throughput: Processing 200,000 transactions per second.

Huge Daily Trading Volume: Over $100 billion.

Redefining Token Standards: HIP-1 and HIP-2

Hyperliquid has introduced HIP-1 and HIP-2, two revolutionary standards that maximize token utility and liquidity.

HIP-1: Native Tokens with Built-In Transactionality
HIP-1 allows users to create fungible tokens pegged directly to the on-chain spot order book, elevating tokens to specialized financial instruments.

Compared to ERC-20: HIP-1 adds transactional functionality to tokens.

Superior to SPL Tokens: Unlike SPL tokens that rely on external DEX platforms or liquidity pools, HIP-1 tokens ensure instant tradability and high performance, tailored for financial assets.

HIP-2: Embedding Liquidity at Issuance
HIP-2 permanently binds liquidity to HIP-1 tokens, solving the liquidity issue right from issuance.

Innovative Mechanism: Integrating liquidity with the token standard.

Instant Depth: Ensuring a seamless trading experience comparable to Ethereum liquidity pools.

Auction: Key to Successful Token Issuance

Hyperliquid's token deployment process utilizes a unique auction mechanism to determine gas fees. Each auction lasts 31 hours, starting at a high price; if unsold, the price will linearly decrease to 10,000 USDC.

Recent Highlights

GOD - 975,746.79
CREAM - 546,967.35
MON - 487,936.86

This means that after GOD closes at $975,746.79, the starting price for the next round of auctions will be $1.95 million! These auctions are public and real-time stats can be viewed on Hypurrscan.

Hypurr Fun: Designed for “Trench Raiders”

Hypurr Fun (HFUN) is a launchpad within the Hyperliquid ecosystem designed for “trench raiders” — crypto enthusiasts looking for high-potential tokens and seeking early participation.

Key Features:

1. Telegram Bot Integration
Interact with Hypurr Fun via a dedicated Telegram bot.
Buy tokens on Telegram, monitor status, and receive alerts.
Join the Prelaunch market and Hypurr channel for real-time updates on token issuance.

2. Token Creation and Issuance
Token issuance follows a bonding curve mechanism similar to Pump.fun.
High-potential tokens can automatically transition to the Hyperliquid spot market.
Once the liquidity threshold is reached (e.g., 80% of tokens sold), the proceeds will be used to ensure eligibility for listing on Hyperliquid.

3. Trench Mechanism
Pre-Launch Market: The trench is the trading phase before token issuance, focusing on discovering high-potential tokens.
Auction Participation: Funds from Hypurr Fun sales will be used for a Dutch auction on Hyperliquid with the aim of securing a spot listing.

PVP.trade: Upcoming Airdrop

PVP.Trade is a Telegram bot integrated with the Hyperliquid ecosystem, designed for social and competitive trading. It particularly appeals to airdrop hunters, as active trading now accumulates points that will impact future rewards.

Main Features:

1. Trading Bot
Execute trades directly through Telegram.
Support leveraged and spot trading on the Hyperliquid platform.

2. Community Interaction
Social trading features allow users to view group members' positions.
Facilitate collaboration and learning within the trading community.

3. Rewards & Points System
Earn points through trading, which will be used for upcoming token airdrops.
Incentivize users to actively engage with the bot in trading.

HyBridge: Cross-Chain Asset Bridging

HyBridge is a cross-chain bridging tool designed to simplify the process of transferring assets into the Hyperliquid ecosystem, allowing you to seamlessly move tokens from blockchains like Ethereum, Solana, and more to Hyperliquid.

EVM: Expanding the Hyperliquid Ecosystem

Hyperliquid recently launched the Ethereum Virtual Machine (EVM) on its testnet, providing developers with the opportunity to build and experiment with Ethereum-compatible applications. This feature enables users to migrate existing EVM applications or create new front-ends, thereby encouraging more participation in the Hyperliquid ecosystem. The EVM operates through a JSON-RPC interface, allowing seamless interaction with the blockchain.

In addition to the EVM rollout, the Hyperliquid testnet now also supports staking. This development enables users to participate in staking activities, contribute to network security, and earn rewards in the process. As the platform continues to evolve, these features will play a crucial role in promoting community participation and incentivizing user engagement.

Developer Information:

·JSON-RPC Interface: https://api.hyperliquid-testnet.xyz/evm

·Chain ID: 998

·Try Hyperliquid Testnet Staking here
·Learn how to build a trading bot using the Hyperliquid Python library

Learn how to deploy a programmable wallet on Telegram here

For more information, please refer to the Hyperliquid documentation

Conclusion: The Future of On-Chain Transactions

Hyperliquid represents a significant breakthrough in DeFi development, combining the speed and efficiency usually associated with centralized exchanges with the transparency and security of blockchain technology, creating a truly revolutionary product in the crypto space. The platform's success is not only measured by token prices or daily trading volumes but also by the organic and comprehensive ecosystem it has built.

From a purpose-built L1 blockchain and innovative token standards (HIP-1 and HIP-2) to user-friendly interfaces like Hypurr Fun and PVP Trade, every component has been carefully designed to enhance the trading experience. The recent addition of EVM compatibility and staking features on the testnet further demonstrates Hyperliquid's commitment to continuous innovation and ecosystem expansion.

What sets Hyperliquid apart is not just its technical achievements but also its community-first approach. By maintaining self-funding and avoiding venture capital interference, the team has remained focused on building a platform that truly serves user needs. With each piece falling into place, Hyperliquid is set to completely transform how we engage in on-chain transactions. They are not just playing by the cryptocurrency rules—they are rewriting them.

Special Thanks
Special thanks to the following key contributors in the Hyperliquid ecosystem:
@chameleon_jeff
@ThinkingUSD
@kirbyongeo
@NMTD8
@crypto_adair

「Original Article Link」

Currently, most Web3 projects are still in the stage of functional fragmentation, often focusing only on a single aspect, such as IP asset tokenization, transaction functionality, or a simple incentive model. This structural dispersion has become a key bottleneck hindering the industry's scale application.

BeatSwap's approach is more integrated, integrating multiple core modules into the same system, including:

· IP authentication and on-chain registration

· Authorization-based revenue sharing mechanism

· User-engagement-driven incentive system

· Transaction and liquidity infrastructure

Through the above integration, the platform builds an end-to-end closed-loop path, allowing IP rights to complete a full cycle of "creation, use, and monetization" within the same ecosystem.

Expanding from Web3 to a broader market: Restructuring the music industry's supply-demand structure

BeatSwap is not limited to existing crypto users but is attempting to take the global music industry as a starting point, actively creating new market demand. Its core strategies include:

Exploring and incubating music creators (Artist discovery)

Building a fan community

Igniting IP-centric content consumption demand

The current global music industry is valued at around $260 billion, with over 2 billion digital music users. This means that the potential market corresponding to the tokenization and financialization of IP far exceeds the traditional crypto user base.

In this context, BeatSwap positions itself at the intersection of "real-world content demand" and "on-chain infrastructure," attempting to bridge the structural gap between content production and financial flow.

"Space" to Launch in Q2 2026: Building the Core of SocialFi

BeatSwap's upcoming core product "Space" is scheduled to launch in the second quarter of 2026. This product is defined as the SocialFi layer in the ecosystem, aiming to directly connect creators with users and achieve deep integration with other platform modules.

Key designs include:

A fan-centric interactive mechanism

Exposure and distribution logic based on $BTX staking

User paths connected to DeFi and liquidity structures

Thus, a complete user behavior loop is formed within the platform: Discovery → Participation → Consumption → Rewards → Trading

$BTX Token Mechanism: Evolving from an Incentive Tool to a Value Carrier

$BTX is designed to be a core utility asset within the ecosystem, rather than just a simple incentive token, with its value directly tied to platform activity and IP use cases.

Main features include:

· Yield distribution based on on-chain authorized actions

· Value reflection based on IP usage and user engagement dynamics

· Support for staking and DeFi participation mechanisms

· Value growth driven by ecosystem expansion

With the increased frequency of IP use, the utility and value support of $BTX will enhance simultaneously, helping alleviate the "disconnect between value and utility" issue present in traditional Web3 token models to some extent.

Accelerating Global Exchange Layout: Enhancing Liquidity and Accessibility

Currently, $BTX has been listed on several mainstream exchanges, including:

Binance Alpha

Gate

MEXC

OKX Boost

As the launch of "Space" approaches, BeatSwap is actively pursuing more exchange listings to further enhance liquidity and global accessibility, laying a foundation for future market expansion.

Beyond Web3: Aiming for a Larger-Scale Integration of Content and Finance Markets

BeatSwap's goal is no longer limited to the traditional Web3 narrative but aims to target over 2 billion digital music users and a trillion KRW-scale content market.

By integrating content creators, users, capital, and liquidity into a blockchain framework centered around IP rights, BeatSwap is striving to build a next-generation infrastructure focused on "IP tokenization."

Conclusion

BeatSwap integrates IP authentication, authorization distribution, incentive mechanism, transaction system, and market construction to establish a unified structure that bridges the full lifecycle path of IP rights.

With the launch of the Q2 2026 "Space," the project is expected to become a key infrastructure connecting content and finance in the IP-RWA (Real World Assets) track.

Mag 7 Evaporates $2 Trillion | Rewire News Morning Edition

Market First Pricing Yearly Rate Hike

Losing $19K per Coin Mined, Bitcoin Mining Firms Collective AI Defection

These mining companies are increasingly resembling data center operators, just happen to be mining Bitcoin.

Morning Report | Tom Lee predicts that the cryptocurrency winter will end in April; xStocks introduces a new on-chain private equity fund; Sui mainnet upgraded to V1.68.1

Overview of Important Market Events on March 29

Polymarket rules have changed, how should airdrop participants respond?

The regulatory hunt has already formed, and Polymarket's policy upgrade is a proactive response to this hunt.

Crypto ETF Weekly | Last week, the net outflow of Bitcoin spot ETFs in the U.S. was $296 million; the net outflow of Ethereum spot ETFs in the U.S. was $206 million

Franklin Templeton launches tokenized ETFs, enabling 24/7 cryptocurrency wallet trading.

This Week's Key News Preview | The U.S. Releases March Non-Farm Payroll Data; Polymarket Expands Fee Structure

Highlights from March 30 to April 5 this week.

Slow Down, That's the Answer to the Age of the Agent

Rather than worrying about AI, it's better to regain control of pace and judgment

From Cash to Cryptocurrency: Moving Towards a Unified Regulatory Path for Illegal Payments

By establishing a framework based on the principle of "general law" and broadly defining the function of "payment tools," future innovations can be automatically included in the regulatory perspective, thereby breaking the passive cycle of "innovation-regulation-re-innovation-re-regulation" and guid...

Who will own the most Bitcoin in 2026

In this article, we will examine some individuals, companies, and wallets that have become crypto whales based on on-chain data and their own public statements, and investigate the amount of Bitcoin they hold.

A private feud lasting 10 years, if not for OpenAI's "hypocrisy," would not have led to the world's strongest AI company, Anthropic

What shapes the global AI landscape is not only the competition of technological routes but also a personal trauma that has never healed.

"Crypto Tsar" steps down: 130 days of political performance come to an end, how much of Trump's crypto promise remains?

The encryption czar has left, and Trump has muted.

From Utopian Narratives to Financial Infrastructure: The "Disenchantment" and Shift of Crypto VC

Financial infrastructure is the real reason that attracts venture capital investment in the cryptocurrency field.

A decade-long personal feud, if not for OpenAI's "hypocrisy," there would be no globally leading AI company Anthropic

Shaping the global AI landscape is not just a battle of technical paths, but also a wound of private trauma that has never healed

a16z: The True Meaning of Strong Chain Quality, Block Space Should Not Be Monopolized

Essentially, this attribute allows stakeholders to have a "virtual lane" within a high-throughput blockchain to ensure their transactions can be included.