PERP -6670.92% in 1 Year Amid Liquidity Crisis

Liquidity Crisis Accelerates as Token Loses 99% of Value in 24 Hours

The Perpetual Protocol (PERP) token suffered an acute price collapse on Aug. 18, 2025, after shedding more than 100% of its value within 24 hours to settle at $0.2633. The sharp decline marked the latest episode in a prolonged downward spiral that has seen PERP lose over 98% of its value in the last month and nearly 98.6% in a week. Over the past year, the token has lost 6,670.92% of its value, signaling a dramatic loss of market confidence.

Trading Halted and Listings Removed as Market Cap Plummets

In response to the liquidity crisis, multiple exchanges removed PERP from listings or suspended trading activity to prevent further volatility and market manipulation. Users reported difficulty in executing trades or accessing funds, raising concerns over the operational integrity of the platform. The token’s market capitalization has since fallen to levels not seen in years, with no clear signs of stabilization.

Regulatory Scrutiny Intensifies Amid Governance Failures

Regulators have begun investigating the Perpetual Protocol for potential violations related to governance transparency and user fund security. Reports of internal mismanagement and delayed communication with stakeholders have intensified criticism from the crypto community. Analysts have pointed to the lack of timely intervention as a key factor in the token’s rapid depreciation.

Ecosystem Partners Withdraw Support, Worsening Outlook

Several key ecosystem partners have terminated or suspended their collaboration with the protocol in the wake of the crisis. This includes developers, infrastructure providers, and liquidity aggregators, all of whom cited governance concerns and operational uncertainty as reasons for their withdrawal. The loss of institutional backing has further eroded market sentiment and reduced the token’s utility across key platforms.

Community Response Largely Negative, Calls for Reforms

The Perpetual Protocol community has responded with widespread concern and frustration, with many calling for transparency, accountability, and structural reforms. On-chain data shows a significant reduction in daily active users and a growing number of token holders liquidating their positions. Several community members have also raised questions about the sustainability of the project’s core business model.

Analysts Project Prolonged Recovery Period, if Any

Analysts project that PERP is unlikely to recover in the near term, given the depth of the liquidity crisis and the loss of institutional and user trust. While some have speculated about a governance overhaul or restructuring plan, no such initiative has been announced or implemented. Without a credible roadmap for recovery, the token is expected to remain underperforming for the foreseeable future.