Hyperliquid Reimburses $2M After Outage
One of the most impressive stories this week came from Hyperliquid. The decentralized exchange suffered an API outage that lasted around 37 minutes. During that time, users couldn’t execute trades.
Quick Compensation
Instead of hiding behind “decentralization,” Hyperliquid acted fast. They refunded nearly $2 million to affected users in USDC. According to on-chain data, the team has already sent out most of the funds.
One trader summed it up well on X: “They didn’t have to do this. No contracts. No legal obligation. Just integrity.”
No Hack—Just High Traffic
Initially, people feared the worst. But the issue wasn’t an exploit. It was a traffic spike. On July 23, Hyperliquid hit a record $14.7 billion in open interest. Days later, the servers buckled under the load.
The outage happened from 14:10 to 14:47 UTC on July 29. Orders were delayed. API calls failed. Still, the team responded quickly.
For users who lost more than $10,000, there’s a small catch. You’ll need to complete KYC by August 18 to receive the full refund. But you’ve already got $9,999—so that’s not a bad start.
