Hyperliquid didn't just distribute 310 million $HYPE tokens to its community. They sent a strong signal, in my opinion, that could well influence the strategic choices of projects that will launch a token in 2025. In this article, I look back at this airdrop, which became the largest in the history of cryptocurrencies with a $HYPE token reaching $29.
Hyperliquid created its own cryptos and distributed 310 million at $2 each to users who had previously used its platform and that a few days after its launch was valued at more than $27 each in other words they did not distribute not 700 million but rather $8 billion, which makes the hyper cryptos one of the largest aidrop of all time. Beyond a large financial distribution it is a new Meta a new standard that comes to distribute by doing things differently and by not having such an impactful result hyperliquid sent a strong message to the market we can do things in a different way I sincerely think that this will change the next aidrop and that it will inspire certain entrepreneurs and certain projects who are about to launch their cryptos and that it will upset the way of distribution in 2025. In this article we will go back over what happened we will discuss
- Hyperliquid: what is it?
- How it works, but that is not the purpose of this article our goal is to know why this aidrop has really taken off
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What is HYPERLIQUID
Hyperliquid is a DEX, a decentralized platform on which you connect directly with your crypto wallet, in order to carry out two main activities.
1-du trading spot
2- you are a TRAIDING PERP
To make it simpler, spot trading is buying or selling a cryptocurrency. Perp trading is to be able to expose yourself with leverage but also to be able to bet on the rise or fall of a cryptocurrency. The goal is not to explain in detail how perp trading works, but to make it very simple, it will allow you to bet on the future value of a cryptocurrency. Being able to expose yourself with leverage is an accelerator, it is very dangerous for beginners, it is used by the degenerate community of the crypto world. The concept of leverage is relatively simple if you have $1 and you put a leverage of 10 to bet on the rise or fall of a cryptocurrency it is like if you were exposed to $10, the problem if we keep my example if the asset loses 1% of its value you actually lose 10% of your position because you accelerated and put a lever on it
This is not investment advice and be more careful with these tools most of the time it is the centralized platforms that offer these perp tools.
Example binance the biggest exchange in the world or coinbase in the world of crypto-currencies there is what we call DEX that is to say algorithms of platforms of decentralized protocols which offer you to do it directly onchain, that is to say that you are not going to deposit your money on a platform which will take the position for you but in a decentralized way the biggest in this field are DYDX, GMX or even today Hyperliquid,
Hyperliquid has a huge success many people used their platform hoping to generate points that would allow them to have a little bit of hyper token when it would be developed but that's not all hyper liquid operates their own infrastructure that is to say that Hyper liquid owns two networks two kinds of blockchain the first is called hyper liquid one and it is a permissioned network to put it simply not everyone can participate even if you have the computer server the skills and you want to participate and provide infrastructure to make this protocol work you can't without having permissions this infrastructure will manage the book or certain very important financial functions and essential to the hyperliquid protocol and run this system that allows people to trade on the platform but hyper liquid is about to launch a second hyper EVM network that is to say the EVM compatible network (Etherum virtual Machine) this network is a blockchain in its own right that is to say beyond Hyper liquid people will be able to come and build decentralized solutions smart contracts platforms that will allow to compete with hyperliquid but also swap exchange stacking platforms provide a complete ecosystem just like some have done on Etherum, Solana, on base or on other blockchain networks and at that time the Hyper token is no longer a Token of reduction of advantages on trading on the Hyperliquid platform but it is also a Token which will become a coin that is to say gas costs of the blockchain in the new ecosystem just like ETH in Etherum and SOL in solana.
A glance at the price đïž
We must understand the magnitude of this hyperliquid tool made a pretty crazy bet they decided to distribute 31% of their supply so 31% of the cryptocurrency that had just been created or 310 million cryptocurrencies out of 1 billion supply they gave to the old users anyone who had used the Protocol who had traded bets on the protocol these people earned points these points which are worthless until the moment they were told that each point would give them access to 5.5 hype tokens at the moment the demand is stronger than the supply that the price has only climbed showing a dazzling green increase of almost $29 per coin. Be careful at the end of the article I will tell you about the risks but for the moment we must be able to say in addition to being a success the token is only exploding in value which creates a growing loyalty of the community.
but which also gives liquidity to their customers, to their users, liquidity that could perhaps be reinvested in other cryptocurrencies on their own platform, but above all it creates an unprecedented marketing wave of people who talk about it, people who discover it, people who create their hyperliquid account for the first time and start using it, not only to discover this new tool but also because there is still a pocket of 38.8% of the hyper liquid tokens, that is to say 388 million tokens that will serve as an initiative for traders and for people who bring this ecosystem to life, you read that correctly, that's almost 70% of the hype tokens that have been reserved and that have been stored for the community, a much larger part to distribute than what aidrop projects usually do and a second colossal part of 38% that will be distributed once again to those who use it and who bring the ecosystem to life and even in the remaining pocket of 30%, a large part of this liquidity is used to reward stakeholders, actors and certain decisions essential to the protocol it is seen by many investors as one of the best fair launches, something fair, hyperliquid did not raise funds from investors before launching its token and this is often how projects proceed: they raise funds and sell a token that does not yet exist with this money they create a solution a product that will work with the token they sold and they end up launching it on the market which adds value and allows investors to recover money and the community to take a stake in the supply and therefore in the project the crazy thing here is that they went against the grain and even compared to certain fair lunches they did it differently they launched themselves gave and devoted the bulk of the supply to the community and did not even make a concession with an exchange whereas with the craze with its volumes with this interest they could have been easily listed on binance or on coinbase no the few centralized exchanges that sell hyper tokens are exchanges that took the initiative to list it unilaterally and that's why it's not yet listed on most platforms, they launched it on their own in their corner and gave the bulk to the community.
Without even talking about the token, it generates such excitement that it increased the volumes that were on the platform to give you an idea hyperliquid represents 10% of the Open interest on the perp products of binance, binance which I remind you is the largest cryptocurrency exchange offering this solution the hyperliquid protocol generates today approximately $30 million in revenue per month which makes approximately $360 million per year at the moment there are only blockchains like Etherum, Solana, Tron that have this level of revenue all the others are below and I'm not even talking about protocol but indeed blockchain are below this level of revenue and it's not over with this activity there is a mechanism that burns a certain number of hyper tokens making those in circulation even rarer and over the last 30 days they have burned almost $2 billion in tokens.
So you understand the craze, why is there this energy all around.
â ïžBe careful, you still have to write it right away for now and as in many ecosystems that have just been launched are very centralized, the hyper EVM network is not yet launched and the validators that make up the testnet do not yet operate on the Main net hyperliquid one is centralized by a few infrastructure providers who have obtained permission there is no precise explanation on the exact mathematical utility of the token, this token which values ââthe hyperliquid supply at $27 billion which places this project as the 25th cryptocurrency with the most value in the entire ecosystem today does not yet have a precise mathematical specificity we do not yet know exactly what it will be used for but the community has a strong feeling that all the trust and until now when we lacked visibility on what hyperliquid wants to do we had to follow them blindly and all those who did it did not regret it there are literally people who have received millions and millions of dollars for having used hyperliquid for a few months it naturally makes you want to follow them but once again a success of scale will hang from their network successes and not from the protocol and to finish it happens at the right time in the right place on a crypto market which outperform on a bitcoin which will beat new records and on the altcoins which begin to wake up it is a perfect alignment of planets from experience there is always a moment when a curve ends not this calm and there are always corrections and that is also it for the long term development of a project in my opinion today there is euphoria which can be justified and given the revenues that the protocol makes it could even justify that the token continues to rise higher but just as they say in finance you must not catch the knives that fall when all the prices collapse you must also avoid entering a cryptocurrency which multiplies day after day when you have no experience that you have no perspective because you risk taking a bad position.
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