Hyperliquid surpasses Ethereum and Solana in income – but hype acts on a huge discount

In less than a year, Hyperliquid conquered almost 10% of BTC and ETH Perk volume. It has even surpassed the Defi rivals and now challenges CEXs.

Despite unparalleled growth and income, Hype acts with deep discounts on Solana and Ethereum, which led to a debate about whether it is seriously undervalued.

Hype: The Underdog?

Hyperliquid has raised $ 409 million in user costs over the past six months. This is good for 23% more than Ethereum and 75% more than Solana. Nevertheless, the token hype acts with an 88% discount on ETH and a discount of 62% to SOL on a fully diluted basis.

Experts at “The Defi Report” point To a combination of product power, unique tokenomics and growing market share as a reasons why the gap may not apply for long.

In contrast to many crypto projects, Hyperliquid was launched without the involvement of venture capital, excluding VCs and angels of the token allocation. Instead, it spread 31% of the supply of early users at Genesis, at that time $ 1.2 billion worth $ 4.7 billion. The relocation changed traders in stakeholders and avoided the sales pressure that is usually caused by VC disposing cycles.

In addition, the project has set aside a budget of 6% of the basics to finance activities and to set up user costs in an aid fund that buys a hype from the open market. This reduces token drives and supports price discovery.

The core product of Hyperliquid is a high-throughput, on-chain central limit order book that offers perpetuals and spot trade. It offers sub-second block times, low costs and a confident trade experience. Such a system replicates the feeling of a centralized exchange but with Defi transparency.

Trading activity is at a record high, with daily volumes of $ 10- $ 20 billion and $ 13 billion in open interest on assets, which means that the platform has approximately 9-11% of the global BTC and ETH perps volume. Hyperliquid has generated $ 107 million in reimbursements over the past 30 days, which is well above $ 40 million of Solana and $ 67 million from Ethereum.

Almost all income is back to Token. The report showed that $ 92.2 million in reimbursements in July alone led to $ 90.2 million hype purchased. Analysts say that this creates a form of “return revenue” that builds up directly to holders, in contrast to traditional fintech or technical ratings that include income at companies.

Expansion has also played a role in the growing profile of the project. Hyperliquid has gone beyond just a perpetuals DEX to develop his own Layer 1 -Ecosystem. For example, the HyperevM enables developers to build up deep liquidity in the order books of the protocol without having to perform their own fairs. This strategy, combined with integrations in portfolios such as Phantom, Rabby and Rainbow, as well as borrowing and bridging products such as hyperlend and unit protocol, has broadened its reach and reinforced network effects.

Hyperliquid has processed $ 1.95 trillion on an annual basis, more than his decentralized competitors together. The BTC and ETH-open interest rate represents 32% of CMEs and 7.6% of the total in both crypto-native fairs and CME.

Assembly risks

Risks continue to exist, especially with growing competition from Coinbase and Robinhood, dependence on a small validator set and questions about sustainability, since a relatively small number of active traders generates the most income.

Nevertheless, analysts note that the hype-trade with a completely diluted appreciation of $ 48 billion and $ 16 billion in circulating range, that his return-driven model and market penetration suggest that the token remains undervalued compared to Solana and Ethereum.