Hyperliquid 2026 H1 Report

Hyperliquid generated $351M in protocol revenue in H1, up 6.4% YoY, while HYPE appreciated 155% against Bitcoin’s 33% decline. Revenue fell 38% against a record H2 2025, although the exit rate improved materially: June revenue reached $71M, the strongest monthly result since November. The protocol deployed $288M into HYPE repurchases during the half. We view the combination of earnings resilience and sustained capital returns as support for valuing HYPE increasingly on operating fundamentals.

HIP-3 materially expanded the exchange’s addressable market. Volume reached $324B in H1, representing 25.1% of matched volume and rising to 32.0% in Q2, as activity broadened across commodities, equity indices, and single stocks. Revenue contribution remains modest relative to volume: subsidized pricing limited HIP-3 to 7.4% of protocol revenue, with native perpetuals contributing 85.6%. Converting this broader trading activity into earnings is a key opportunity. Deployer concentration warrants monitoring, with Trade[XYZ] accounting for 97% of HIP-3 volume in June.

The USDC realignment introduces a potentially material source of incremental holder returns. HyperEVM’s stablecoin supply reached $5.6B at period-end, of which 96% was USDC. Under AQAv2, approximately 90% of cost-adjusted reserve yield is designated for the Assistance Fund. We estimate an annual contribution of $135M to $200M at prevailing rates and balances, providing additional buyback capacity alongside trading fees. No contribution was recognized in H1, and realized economics remained unconfirmed at publication. Key sensitivities include stablecoin balances, interest rates, and the effective revenue share.

Institutional adoption strengthened demand for HYPE as net float contracted modestly. Three US spot ETFs recorded $309M in net inflows through June 30; ETFs, treasury companies, and the Assistance Fund collectively held approximately 82M HYPE, or 8.2% of total supply, on the report’s measurement basis. Limited team claims also supported supply conditions, with just 4.7% of scheduled entitlement claimed during H1. The resulting supply-demand balance is supportive, although the $4.3B vested but unclaimed balance remains a material potential source of supply.

This report was produced by the Hyperliquid Research Collective (HRC), a joint initiative of GLC Research and Four Pillars dedicated to independent research on Hyperliquid.