Hyperliquid TVL Surges 32% to $610M Amid $349M Inflows and HYPE Gains 19%

Hyperliquid, a decentralized derivatives platform, has rapidly emerged as a leading force in the on-chain trading space. As of late July 2025, the platform reported a total value locked (TVL) of $610 million, a significant increase from $460 million in mid-July [1]. This growth is accompanied by a sharp rise in monthly USD inflows, which reached $349.27 million in July from just $21.35 million in June, signaling strong institutional interest and expanding utility of the protocol [1].

The surge in TVL and trading activity has coincided with a notable rise in the price of HYPE, Hyperliquid’s native token. In the week leading up to August 15, 2025, HYPE gained 19%, trading at $48.57, just 1.1% below its peak of $49.75 on July 14. Over the same period, Hyperliquid recorded $7.7 million in fees, reflecting a sharp uptick in user activity and liquidity provision [1].

A key driver of Hyperliquid’s momentum has been its institutional adoption. On August 13, Anchorage Digital Bank announced support for HYPE custody, while Circle integrated native USDC and CCTP V2 to improve liquidity and facilitate cross-chain transactions. These developments are expected to enhance the platform’s appeal to institutional investors and further solidify its position in the decentralized derivatives market [1].

On-chain data also reveals growing institutional-grade confidence in the platform. Whale wallet 0xa523 injected over $40 million in USDC into Hyperliquid within 48 hours, acquiring 466,000 HYPE tokens at an average price of $46–$47, signaling bullish sentiment [3]. The platform now processes 6.1% of the perpetuals market’s daily trading volume, having executed $320 billion in trades in July 2025. With TVL reaching $2.81 billion, Hyperliquid is among the top decentralized exchanges, competing directly with centralized giants like Bybit and Binance [3].

Hyperliquid’s custom Layer 1 blockchain supports up to 100,000 orders per second with sub-second finality, addressing a critical gap between performance and decentralization [3]. Furthermore, 97% of protocol fees are allocated to token buybacks, creating upward pressure on HYPE. The Assistance Fund, launched in January 2025, has already accumulated 28.5 million HYPE, valued at $1.3 billion [1]. Analysts estimate that at current revenue rates (~$5M/day), the fund could potentially repurchase the entire circulating supply within 1.5 to 3.4 years [1].

Governance proposals such as HIP-1, HIP-2, and HIP-3 are also driving the platform’s expansion. These proposals aim to enable community-driven listings, native liquidity pools, and permissionless perpetuals, respectively. HIP-3, in particular, could move Hyperliquid beyond crypto into commodities and equities, positioning it as a direct competitor to traditional finance derivatives platforms [1].

The bullish case for HYPE is supported by sustained trading volumes, cross-market expansion, and a retail-centric token distribution model. Hyperliquid’s 31% supply airdropped to over 90,000 wallets has ensured broad community ownership, reducing the risk of large sell-offs driven by institutional holders [1].

Looking ahead, analysts remain divided. Some predict HYPE could reach $90 or higher if key resistance levels are broken, while others caution about the potential for a market reversal [3]. Regardless, Hyperliquid has demonstrated that decentralized derivatives platforms can achieve performance and scale previously associated with centralized exchanges. As institutional adoption and on-chain activity continue to rise, the platform is reshaping the decentralized trading landscape.

Source:

[1] Hyperliquid Hits $29B Daily Volume as HYPE Rises 19% (https://www.ainvest.com/news/hyperliquid-hits-29b-daily-volume-hype-rises-19-48-57-2508/)

[3] HYPE Price Eyes $90 as Hyperliquid TVL and Fees Hit ATHs (https://www.banklesstimes.com/articles/2025/08/17/hype-price-eyes-90-as-hyperliquid-tvl-and-fees-hit-aths/)