The explosive growth of Hyperliquid, a leading decentralized derivatives trading platform, in recent years seems to have posed a real threat to traditional financial giants on Wall Street.
According to a recent report by Bloomberg today (15th), the world's largest derivatives market, the Chicago Mercantile Exchange (CME Group), is working with the New York Stock Exchange (NYSE) to actively push U.S. regulators to strengthen their oversight of Hyperliquid.
Three core concerns of pressure from CME and NYSE
Hyperliquid, a decentralized perpetual contract exchange primarily operating on-chain, not only offers cryptocurrency derivatives but also actively expands into the tokenized commodities market. The report points out that traditional financial giants have raised three main concerns with regulators (such as the CFTC):
- Market manipulation risk: Traditional institutions believe that Hyperliquid's decentralized nature leads to insufficient transparency, which can easily breed market manipulation (such as the malicious liquidation and squeeze that previously occurred with the JELLY token).
- Circumventing sanctions and compliance loopholes: As an offshore platform that runs on the blockchain, it could be used by criminals to bypass U.S. financial sanctions or anti-money laundering (AML) regulations.
- The direct impact on traditional markets (competitive pressure): This is the most critical pain point. Hyperliquid provides 24/7 liquidity for commodity derivatives such as crude oil during weekends or when traditional institutions like the CME are closed (e.g., during sudden geopolitical conflicts). This makes it a highly threatening competitor to traditional institutions.
HYPE token price briefly drops 10% as it actively pursues compliance.
Ironically, while the NYSE was involved in pushing for regulation, Bitwise recently launched related ETFs (such as BHYP) and chose to list them on the NYSE. This shows that traditional finance is both wary of this emerging force and eager to profit from it.
In response to a potential regulatory storm, Hyperliquid has already begun its self-rescue efforts. The platform recently established the "Hyperliquid Policy Center," actively lobbying agencies such as the CFTC in an attempt to secure a clear compliance path for decentralized derivatives. Currently, this regulatory action is still in the "push" phase, with no formal enforcement yet implemented.
However, the cryptocurrency market is always extremely sensitive to regulatory news. Hit by the negative sentiment following the Bloomberg report, Hyperliquid's native token , HYPE, experienced significant selling pressure in the short term, with its price quickly falling by nearly 10% . Investors should closely monitor subsequent official statements from US regulators and the platform's progress in compliance adjustments.
Related reports
