Hyperliquid Drops 0.736% as DeFi Leader Engages CFTC on Derivatives

Hyperliquid's latest price was $32.83, down 0.736% in the last 24 hours. Hyperliquid Labs, a prominent player in the decentralized finance (DeFi) space, has been actively engaging with regulatory bodies to shape the future of financial markets. On May 23, 2025, the company submitted two formal comment letters to the U.S. Commodity Futures Trading Commission (CFTC) in response to recent calls for public input on the future of perpetual swaps and 24/7 derivatives trading. These submissions came after a month-long comment period on two regulatory initiatives launched by the CFTC in April.

The CFTC’s Requests for Comment (RFCs) aimed to explore regulatory approaches for continuous trading environments and new types of derivatives products. Hyperliquid Labs praised the CFTC’s engagement on these issues, highlighting their significance in the evolution of global markets. The comment period for both RFCs closed on May 21, 2025, following a month-long feedback window.

In its submissions, Hyperliquid Labs emphasized the role that decentralized finance can play in shaping the future of financial markets. The organization described DeFi as a powerful tool for improving transparency, efficiency, and user control in financial systems. Hyperliquid Labs noted that its decentralized model offers a real-world example of DeFi principles in action, supporting decentralized perpetual markets through the Hyperliquid blockchain protocol.

The group urged U.S. regulators to recognize the country’s opportunity to lead in financial innovation by establishing clear and supportive rules for the sector. This proactive approach to regulation has bolstered trust among institutional investors and signaled the platform’s readiness to operate under clearer compliance frameworks. Hyperliquid Labs has not previously been named in enforcement or compliance actions, standing in contrast to a number of DeFi projects that have opted to avoid regulatory channels altogether.

Hyperliquid’s rise is not just technical; it also stems from strategic moves on the regulatory front. The project has engaged directly with the US Commodity Futures Trading Commission (CFTC), submitting detailed comment letters on perpetual derivatives and 24/7 crypto trading practices. In these communications, Hyperliquid emphasized its commitment to transparency, decentralized infrastructure, and on-chain auditability. This proactive approach to regulation has bolstered trust among institutional investors and signaled the platform’s readiness to operate under clearer compliance frameworks.

Hyperliquid’s ecosystem has also been shattering records. On May 22, the platform hit multiple new highs, including $8.9 billion in open interest, $5.4 million in 24-hour fees, and a new record in stablecoin TVL. These impressive metrics have fueled speculation that Hyperliquid could soon enter the top five crypto projects globally. Ryan Watkins, co-founder of Syncracy Capital, believes Hyperliquid could be Solana’s fiercest competitor in shaping the on-chain U.S. equities narrative in the coming quarters. “The winner of this race could very well become crypto’s next $100B to $500B juggernaut and redefine capital markets as we know them,” he stated.

Hyperliquid’s airdrop, which distributed over 310 million $HYPE tokens to early users in November 2024, has turned into a significant event. Representing 31% of the token’s total supply, this airdrop is worth more than $11.1 billion at the current market price, placing it among the largest and most valuable token distributions in crypto history. The price surge has been largely driven by long-term whales and community members, further solidifying the project’s grassroots strength. Now ranked among the top 12 cryptocurrencies by market cap, Hyperliquid’s ecosystem continues to grow and attract attention from both retail and institutional investors.