Hyperliquid Launches PUMP-USD Hyperps With 3x Leverage, Trading Volume Exceeds $21 Million

Hyperliquid, a decentralized exchange, has introduced a new derivative product called PUMP-USD hyperps, allowing users to speculate on the unlaunched $PUMP token with up to 3x leverage. This innovative product enables traders to take long or short positions on the token, which has not yet been officially launched. Unlike traditional futures contracts, hyperps do not rely on external oracles for pricing. Instead, they use a moving average of their own mark price to calculate funding rates, aiming to reduce the risk of price manipulation and enhance trading stability.

The platform has cautioned users about the high-risk nature of the PUMP-USD hyperp due to its low liquidity, high volatility, and potential for extreme funding costs. Traders are advised to use isolated margin and low leverage, with the contract converting into a standard perpetual once the token is listed on a centralized exchange. Hyperliquid’s pre-market PUMP-USD trading volume exceeded $21 million, with the token peaking at $0.015 before settling at $0.0055.

This listing is part of Hyperliquid’s strategy to strengthen its position in the decentralized derivatives market. In June, the platform posted $214 billion in trading volume, surpassing the combined volume of all other on-chain perpetual protocols. This achievement pushed Hyperliquid’s share of Binance’s perpetual market above 10 percent, up from 9.76% in April. The exchange now processes more than 70% of all decentralized exchange perpetual trading volume.

Hyperliquid’s approach to allocating 97% of protocol fees to buybacks of its native token, HYPE, reduces token supply while aligning incentives with platform activity. With $3.5 billion in bridge total value locked and half a million users, Hyperliquid currently ranks eighth among all blockchains by total value locked. The launch of risk-heavy hyperps like PUMP-USD is part of a broader strategy to capitalize on speculative flows while retaining control over platform mechanics. Hyperliquid has urged users to review documentation before engaging in these contracts, stressing that the mechanism differs from traditional perpetual contracts and may not suit all traders.