2025-12-26 12:26:36

Hyperliquid really made quite a splash in 2025. A small team of 11 developed their own L1 and Hyper BFT consensus, achieving on-chain order books and zero gas fees. The entire trading speed can fully compare to centralized exchanges, with monthly trading volume once soaring to $300 billion.

What’s most impressive is its token mechanism design. 97% of protocol revenue is used for HYPE buybacks, with over $1.3 billion already spent on repurchases. The team and VCs did not participate in private placements and do not hold low-cost chips; the community and ecosystem account for nearly 70%. Although there is unlocking pressure, the buyback intensity is enough to offset it, achieving net deflation—which is quite rare in the DeFi space.

In terms of core strength, 100,000 TPS performance plus zero interaction costs provide a user experience that’s very close to centralized exchanges. Currently, it has integrated over 170 ecosystem projects. These are genuine advantages.

But risks must also be acknowledged: the core code is not fully open-source, the number of validation nodes is relatively small, and competition in the perpetual contracts sector is becoming increasingly fierce. Previously, market share could reach 70%, but it has now fallen back to over 20%.

In short, HYPE is not just a token supported by narrative; it has real cash flow and aggressive buybacks backing it, making it a heavy-asset project in DeFi. The problem is that its valuation is not cheap, and competition is intense. In this environment, long-term actual realization matters more than short-term chasing highs. Do your own homework and never go all-in.

HYPE2,9%

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FOMOrektGuy

· 12-26 16:02

1.3 billion USD buyback and then dropped to 20% market share, how competitive is that? --- Claiming zero gas fees is pretty bold, but I'm a bit worried if the code isn't open source. --- A small team of 11 people working on L1? That’s really gutsy, betting on Hyper BFT not having issues. --- 97% revenue buyback sounds great, but you only know if it’s enough when you’re actually making money. --- Dropping from 70% to 20% market share, what does that indicate, everyone? --- Projects that can achieve net deflation in DeFi are indeed rare, but that also means the tokens have little production pressure. --- Over 170 ecosystem integrations, but how many of these projects are truly active? --- Everyone says don’t go all-in, so why do they make it sound so tempting? Are they just trying to fish? --- Not opening the core code is a real weakness; competitors can just copy it directly. --- Boasting 100,000 TPS aggressively, but is such high concurrency actually achievable on-chain?

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AllInAlice

· 12-26 12:53

$1.3 billion buyback, this move is really aggressive, but it's also really painful to see market share drop from 70% to 20% --- Zero gas fees sound great, but the concern about not open-sourcing the code and potential risks later --- 97% protocol revenue buyback, this mechanism design is indeed impeccable, much more conscientious than projects that keep raising funds every day --- 10,000 TPS sounds impressive, but the key is having users. It's a bit risky that market share is being rapidly eroded now --- Wait, so there are so few validation nodes? Feels a bit centralized --- Everyone says not to go all-in, and I still believe in that. For projects like this, it's better to take small positions and wait until it stabilizes before considering --- Dropping from 70% to 20%, this decline curve is quite steep. What are competitors doing? --- No matter how strong the buyback effort is, it can't stop the continuous decline in market share. Isn't this still about fundamentals? --- Exactly, asset-heavy projects should focus on cash flow. HYPE still has some value in this regard --- Open-sourcing the code is really important. Who knows what the code looks like behind the scenes?

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TokenToaster

· 12-26 12:47

$1.3 billion buyback with solid commitment, now it depends on whether they can maintain that market share. --- It's truly impressive that a small team can reach this level, but not open-sourcing the code always feels a bit frustrating. --- Perpetual contracts have become a mess; the days of Hyper's monopolistic dominance may never return. --- Net deflation combined with aggressive buybacks—this approach is indeed rare in DeFi, gotta give credit. --- 10,000 TPS sounds great, but are we really at ease with so few validation nodes? --- Market share dropping from 70% to over 20% shows that everyone understands what’s going on. --- An expensive valuation coupled with fierce competition—going all-in now is truly a big gamble. --- I admit that tokens backed by real cash flow are better than pure air, but there's no need to overhype them. --- The team not participating in private placements is indeed honest, but so what? --- Nowadays, everyone says Hyper is a heavy-asset project, but half a year ago, everyone was hyping the narrative.

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CommunityWorker

· 12-26 12:43

A 1.3 billion buyback is really impressive, but it's a bit uncertain whether dropping from 70% to 20% market share is sustainable. Speaking of the White Paper and the Eternal Union battlefield, it's hard to say who will win. There are too few validation nodes; this definitely needs attention. If the code isn't open source, how can you still claim decentralization? That's hilarious. A strong buyback effort is good, but with such a high valuation, can it really outperform? This small team developed this system themselves; if it truly gets implemented, that would be amazing. Net deflation sounds good, but execution ability is the real key indicator. Market share halved; if I were in charge, I would also stay calm and cautious.

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DeFiCaffeinator

· 12-26 12:32

The fact that a $1.3 billion buyback couldn't sustain the market share, dropping from 70 to 20.

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