Hyperliquid Launches YZY Perpetual Contract Amid $12.6M Trading Volume Surge

Hyperliquid, a leading derivatives exchange in the cryptocurrency industry, has officially launched a perpetual contract trading pair for YZY, a new meme token tied to the prominent cultural figure Kanye West. The token was introduced by West via his personal social media, and the perpetual contract on Hyperliquid offers traders up to 3x leverage. As of the latest data, the trading volume for the YZY perpetual contract has surpassed $12.6 million, with open interest reaching $6,565,487.39, indicating significant early market participation [1].

The introduction of a perpetual contract on a major derivatives platform like Hyperliquid reflects a broader trend of increased institutional and platform-level support for meme tokens. YZY, deployed on the Solana blockchain, has attracted substantial on-chain activity, including large liquidity pools and high trading volumes on multiple platforms. The perpetual contract provides traders with leveraged exposure to the token’s price fluctuations without the necessity of holding the underlying asset [1].

However, concerns have been raised regarding the token’s centralization. A Coinbase executive noted that approximately 94% of YZY tokens are believed to be held by insiders, with 87% concentrated in a single multisig wallet prior to distribution across multiple addresses. This concentration of ownership increases the risk of price manipulation and volatility in the token’s early stages [2].

Additionally, reports indicate that internal actors have engaged in significant early trading and arbitrage. At least one wallet reportedly purchased YZY at a low price and later sold it for a profit exceeding $3.4 million. Such behavior is not uncommon in the early trading cycles of new tokens, especially meme coins, where market dynamics are often driven by information asymmetry and speculative momentum [3].

Despite these risks, the launch of the perpetual contract on Hyperliquid signals a growing acceptance of meme tokens within the derivatives market. Perpetual contracts provide traders with a flexible tool to hedge or speculate on price movements without the constraints of traditional futures. The $12 million in trading volume on Hyperliquid suggests that the market is actively utilizing the contract for both hedging and speculative purposes, further integrating YZY into the broader crypto derivatives landscape.

YZY’s rise also highlights the increasing influence of social media and celebrity endorsements in shaping market sentiment and driving liquidity in the crypto space. Unlike traditional projects with clear utility or fundamentals, YZY has primarily relied on speculative demand and viral momentum. While the perpetual contract’s launch indicates institutional interest, its long-term viability remains uncertain without sustainable on-chain activity and broader adoption [1].

Multiple exchanges, including MEXC and Gate, have also listed YZY for spot and futures trading, often accompanied by promotional incentives such as zero trading fees or limited-time bonuses. These efforts collectively contribute to increased liquidity and price discovery for the token. However, given the speculative nature of the asset and its concentration of ownership, traders are advised to remain cautious and closely monitor market developments.

YZY’s emergence underscores the evolving nature of the crypto market, where digital assets can rapidly gain traction through social influence and platform support. While the trading pair on Hyperliquid represents a milestone, the token’s future will depend on whether it can maintain consistent trading volumes and a stable price amid a highly volatile market environment [1].

Source:

[1] title1.............................(https://www.gatebase.media/news)

[2] title2.............................(https://www.moomoo.com/hans/crypto/BTC-CC)