Hello friends, recently, I was digging into on-chain data and market dynamics, and something about Hyperliquid caught my eye that was truly surprising. Those of you who follow decentralized futures trading know how strong Hyperliquid has built a solid position as a Layer-1. But this time, the news is a little different.
Hyperliquid’s HIP-3 or ‘Builder Deployed Perpetuals’ open interest (OI) reached an all-time high this Monday. The figure is around $793 million! Can you imagine? Just a month ago, this volume was around $260 million. That is, almost three times the growth in a month.
Why this sudden jump?
At first, I thought it might be a hype for a new memecoin or altcoin. But looking at the chart, I realized that the game is actually the other way around. The main driver of this huge volume is not crypto, but commodities. In particular, gold and silver trading volumes are growing like crazy here.
You may have noticed that gold and silver have been setting new records in traditional markets for the past few months (gold has even broken the $5,000 range). This has had a direct impact on on-chain trading. While the general crypto market has slowed down a bit, people are rushing to trade real-world assets or RWAs on Hyperliquid.
What is HIP-3, and who is dominating it?
HIP-3 is a protocol from Hyperliquid, which was launched in mid-October. Simply put, if you have 500,000 HYPE tokens staked, you can create a futures market for any asset (that has a price feed). It is completely permissionless.
My research shows that a large portion of this volume—about $22 billion—is coming from TradeXYZ, which is powered by Hyperliquid’s tokenization arm, Hyperunit. The most popular markets are:
- XYZ100 (Top 100 Index)
- Silver
- Nvidia
The XYZ100 market alone currently has $165 million in open interest, which is about 20% of the entire HIP-3 ecosystem.
This is quite interesting. Until now, we have only seen derivatives of Bitcoin or Ethereum being traded on blockchain. But this data from Hyperliquid shows that traders are now much more comfortable trading traditional assets or commodities on-chain. The fact that blockchain activity can grow this much even during a period of slowdown in the crypto market is really promising.
This "RWA" or Real World Assets trend looks set to grow even more in the coming days. Let's see how long Hyperliquid can keep this momentum going!
Posted Using INLEO