Hyperliquid (HYPE), a leading decentralized exchange (DEX), has launched a pre-alpha version of its portfolio margin system on the testnet, enhancing trading efficiency by integrating spot and perpetual trading. This system allows for various strategies, including carry trades, where spot balances can back short perps, and idle assets can earn yield automatically. Initially, users can borrow USDC stablecoin, with HYPE as the only collateral. Future plans include adding USDH and Bitcoin (BTC) before moving to the alpha version. The portfolio margin framework aims to be applicable across all HIP-3 DEXs and future assets under HyperCore. An upgrade will enable smart contract access via CoreWriter for on-chain strategy development. Market expert Austin King highlighted the historical significance of portfolio margin, which transformed traditional finance by significantly increasing liquidity. He noted that this feature is crucial for attracting large liquidity providers to Hyperliquid, as it enhances returns compared to traditional exchanges. Despite recent losses, HYPE has shown a 60% year-to-date gain. Read more AI-generated news on: https://app.chaingpt.org/news

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