No VC, No Problem: Hyperliquid Explodes to $6B TVL and $16B Open Interest
Hyperliquid Reports Explosive Growth Without Venture Capital as On-Chain Metrics Surge
The on-chain derivatives platform Hyperliquid has reported sharp year-over-year growth across nearly all of its core metrics, highlighting a rare case in the crypto industry of rapid expansion without external venture capital funding. According to the platform’s latest update, Hyperliquid achieved multi-billion-dollar scale while returning all protocol fees directly to its community.
The figures underscore how Hyperliquid has emerged as one of the most significant players in decentralized derivatives trading during a period marked by heightened volatility and renewed interest across digital asset markets.
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| Source: XPost |
Total Value Locked and Open Interest Surge
Hyperliquid reported that its total value locked rose to approximately $6 billion, up from around $2 billion at the same point one year earlier. The growth reflects a substantial increase in user confidence, as more traders and liquidity providers opted to keep capital on the platform rather than move funds in and out frequently.
Open interest showed an even more dramatic rise. The platform said open interest climbed to $16 billion, compared with roughly $4 billion a year earlier. These figures place Hyperliquid among the largest on-chain derivatives venues by activity, signaling deeper liquidity and stronger participation from active traders.
Industry analysts often view rising open interest as a sign of sustained engagement rather than short-term speculation. In Hyperliquid’s case, the growth suggests that traders are increasingly using the platform for longer-duration positions and more complex strategies.
Rapid Expansion of the User Base
Alongside capital inflows, Hyperliquid reported significant growth in its user base. The platform said it now serves approximately 1.4 million users, up from around 300,000 a year earlier. This expansion occurred during a period of heavy market activity, when crypto traders were actively seeking platforms capable of handling high volumes with minimal friction.
The increase in users reflects broader trends in the crypto market, where on-chain trading tools have gained traction among retail and professional participants alike. For Hyperliquid, the surge also suggests that its product offerings and fee structure are resonating with a growing audience.
Trading Volume and Revenue Reach New Highs
Trading activity on Hyperliquid also reached new milestones over the past year. The platform reported that its 24-hour trading volume peaked at $32 billion during 2025, more than double the approximately $15 billion recorded during comparable periods in 2024.
Revenue followed a similar trajectory. Daily protocol revenue reportedly reached a high of $20 million, up from roughly $3.5 million a year earlier. Unlike many crypto platforms, Hyperliquid emphasized that these revenues were not retained by insiders or early investors.
Instead, all protocol fees were returned to the community under the platform’s design. This approach stands out in an industry where venture-backed growth, token incentives, and equity funding often play a central role. Hyperliquid said its decision to prioritize organic growth and community participation has been a defining feature of its model.
A Different Growth Strategy
Hyperliquid’s development path contrasts sharply with many high-profile crypto platforms that rely on venture capital rounds or token sales to fund expansion. By avoiding external funding, the platform has positioned itself as a community-driven alternative, with users directly benefiting from protocol activity.
Supporters of this approach argue that it aligns incentives more closely between developers, traders, and liquidity providers. Critics, however, note that operating without venture backing can limit access to capital during periods of rapid scaling or market stress.
So far, Hyperliquid’s performance suggests that organic growth can reach scale under the right market conditions. Whether this model remains sustainable as competition intensifies remains an open question.
Product Launches Fueling Adoption
The platform’s growth coincided with several major product launches during 2025. One of the most significant was the rollout of HyperEVM, which expanded smart contract functionality and provided broader support for builders and developers within the ecosystem.
Hyperliquid also introduced native USDC integration, streamlining the movement of stable liquidity on and off the platform. This feature reduced friction for traders who rely on stablecoins for margin management and capital efficiency.
Additional updates included the deployment of permissionless perpetuals under HIP-3, along with an early version of portfolio margin. These tools were designed to offer traders greater flexibility while maintaining risk controls suited for high-volume environments.
Move Toward Permissionless Validation
Another notable development was Hyperliquid’s transition toward a fully permissionless validator set. By reducing reliance on a small group of operators, the platform aimed to strengthen decentralization and align more closely with open-access principles.
This shift is significant in the context of on-chain derivatives, where performance, security, and decentralization must be carefully balanced. A broader validator set can enhance resilience but also introduces new coordination challenges.
Hyperliquid said the move reflects its long-term commitment to building infrastructure that remains accessible and robust as usage grows.
What the Numbers Suggest About Market Confidence
Taken together, the data paints a picture of accelerating adoption and rising confidence in Hyperliquid’s infrastructure. Growing total value locked suggests that users are comfortable maintaining capital on the platform, while higher open interest points to deeper liquidity and more sophisticated trading behavior.
At the same time, rapid growth introduces new risks. Large trading volumes can amplify stress during sharp market swings, and newly deployed features must prove stable under extreme conditions. How Hyperliquid performs during future periods of volatility will be closely watched by traders and developers alike.
Challenges Ahead as Competition Increases
As the on-chain derivatives space becomes more crowded, Hyperliquid will face increasing competition from both decentralized and centralized platforms seeking to capture market share. Maintaining performance, security, and user experience at scale will be critical.
Regulatory developments could also influence the platform’s trajectory. While Hyperliquid operates on-chain, broader regulatory scrutiny of derivatives trading and stablecoin usage may affect how platforms structure products and manage risk.
A Rare Case in Crypto Growth
For now, Hyperliquid’s update highlights a rare outcome in the crypto sector: a platform reaching multi-billion-dollar metrics without venture backing while distributing protocol revenue directly to its community.
As 2026 unfolds, market participants will closely observe whether this model can continue to deliver growth amid changing market conditions. If sustained, Hyperliquid’s approach could influence how future on-chain platforms think about funding, incentives, and community alignment.
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Writer @Ethan
Ethan Collins is a passionate crypto journalist and blockchain enthusiast, always on the hunt for the latest trends shaking up the digital finance world. With a knack for turning complex blockchain developments into engaging, easy-to-understand stories, he keeps readers ahead of the curve in the fast-paced crypto universe. Whether it’s Bitcoin, Ethereum, or emerging altcoins, Ethan dives deep into the markets to uncover insights, rumors, and opportunities that matter to crypto fans everywhere.
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