With the recent launches of high FDV projects like Magic Eden and Movement on international exchanges, the market's token listing rhythm has resonated similarly to April of this year. Often at this time, a supply-side redundancy occurs, with altcoins in demand but unable to meet it, leading to a divergence phenomenon where Bitcoin and Ethereum reach new highs while altcoins on CEX languish. These altcoins that have already listed on CEX are expected to meet Bitcoin's $100,000 'bear market' soon.

Image from the internet

At this awkward moment when BTC and altcoins are eyeing each other, the Hyperliquid ecosystem is remarkably thriving. Even yesterday's newly launched memecoin HYENA has surged to the extent that it crashed the Hypurr Fun Bot.

The Hyper ecosystem is experiencing a general rise, and leading funds are accelerating their entry.

Just today, HYPE broke through $28. HYPE has moved almost without any pullback since opening at $6 on November 29, smoothly surpassing Layer 1s like Fantom and Aptos, reaching a current circulating market cap of about $9 billion and an FDV of $27 billion, directly entering the ranks of the top 30 crypto assets by market cap.

Image source: CoinGecko

The epic airdrop of HYPE is the biggest turning point in the Hyperliquid ecosystem. Before the TGE, although Hyperliquid had a strong wealth creation effect, there was little discussion about the Hyper ecosystem in the Chinese community, and most people still simply classified Hyperliquid as a PerpDEX like dYdX; however, after the airdrop, the market was attracted by the rise of HYPE as a 'single machine token', and Hyperliquid has long achieved a transformation from PerpDEX to a high-performance trading public chain in the public eye. This is also the reason why Hyperliquid's valuation ceiling continues to rise (shifting from DEX valuation logic to public chain valuation logic).

In addition, blue-chip assets on Hyperliquid and newly launched tokens have also been favored by leading market funds.

Blue-chip assets are reaching new highs repeatedly

Recently, although Hyperliquid has welcomed a spring of liquidity, the assets that have risen above average are still some leading assets within the Hyper ecosystem, including PURR, HFUN, and JEFF, in addition to HYPE.

PURR

PURR is a memecoin airdropped by Hyperliquid to early users, now regarded as the strongest meme of PURR consensus, without a doubt. PURR is also seen as the official mascot of Hyperliquid. Since December 11, it has increased by over 200%, with a market cap reaching $370 million.

K-line chart of PURR

HFUN

Hypurr Fun is the fastest Telegram trading bot on Hyperliquid, while HFUN is the platform token for Hypurr Fun. After being discovered for its value after December 5, it has reached new highs, with a ten-day increase of up to 1500%.

K-line chart of HFUN

At the same time, according to blogger Arthur's on-chain tracking, GCR purchased $HYPE at a price of $10, bought $PURR at $0.30, purchased $JEFF at $19, and bought $HFUN at $39.

Stunning token listing effect

Unlike the perplexing token listing rules of CEX, Hyperliquid adopts a Dutch auction rule. The starting price of a Dutch auction begins higher than the market expectation, and then the price is continuously lowered until the first acceptance of that price results in a transaction. The project party competes for the right to list on Hyperliquid through the auction format. This Dutch auction listing mechanism has many advantages.

One reason is that the auction prices of Ticker will continuously increase. For example, after SOLV was sold for $128,000, the next auction will start at a price higher than $128,000. If the auction starts below the previous price, it is likely to be sold immediately, incentivizing the starting price to continuously rise.

Hyperliquid token listing auction history

Indeed, after SOLV was sold for $128,000, there was an auction price of $180,000 for FARM, and recently MON was sold for a sky-high price of $480,000. The auction prices and the market cap of HYPE have also quadrupled in 10 days, reaching new heights.

Secondly, such an auction mechanism will filter out higher-quality projects. Project parties will significantly enhance the token listing effect to recoup their listing costs.

The latest auctioned tokens such as SOVRN and MON are noteworthy because these tokens are not launched on Hyperliquid but have pools on other chains. After the auction of SOVRN completed at 10 AM on December 14, the price increased by over 100%. Coincidentally, MON also saw a 50% increase after its token auction concluded at 2 PM on December 15.

Both SOVRN and MON saw significant increases after their auctions.

As the market's purchasing power is bustling in and out, how should we take a seat at the table?

What gameplay do you need to know to stay at the table?

Dealing: Preparations before entering

First, before the troops move, the logistics must be in place. If you are a beginner encountering this for the first time, you need to register an account and familiarize yourself with Hyperliquid's trading mechanism.

Register an account

After entering the Hyperliquid official website, click on the 'connect' link to link your wallet. Then click 'Deposit' in 'Portfolio' and switch your wallet to the Arbitrum chain, then deposit USDT/USDC into Hyperliquid. Note that a small amount of ETH is needed for GAS.

Conduct transactions

You can start trading after registering and funding your account. The main trading assets on Hyperliquid are divided into 'Perp' (contracts) and 'Spot' (spot), among which spot can be chosen as 'Strict' or 'All'. Strict type spots are mostly blue-chip assets within the Hyperliquid ecosystem, such as PURR, JEFF, HFUN, CATBAL, etc. It is worth noting that GCR has also purchased these core assets.

GCR address purchasing Hyper ecosystem blue-chip assets

If you are sufficiently Degen, you can also participate in Hyperliquid's HLP. HLP allows all users to participate by depositing USDC to provide liquidity for all assets listed on the exchange. Participants can earn a portion of trading fee revenues and profit through market-making strategies in the HLP market.

View tokens

Apart from the already skyrocketed blue-chip assets, a significant wealth creation myth of Hyperliquid comes from its token listing effect. Readers can learn about the detailed auction process through Hyperliquid's official auction website and track the latest token auction dynamics through the subsequent introduction of the Hyperliquid blockchain explorer.

Bidding: How to participate efficiently

Secondly, to do well in a task, one must first sharpen their tools. Just as playing Sol meme cannot be separated from GMGN, unlocking various gameplay in the Hyperliquid ecosystem also requires a series of tools.

Research and analysis

Before participating in trading within the Hyperliquid ecosystem, efficient research and analysis are essential.

(1) ASXN: ASXN is a data dashboard for the Hyperliquid ecosystem, similar to Dune in Hyperliquid. You can use ASXN to query relevant data, such as recently auctioned tokens' Ticker and prices, trading volume ratios, and other information. When you open the website, the Hyperliquid data dashboard collection will appear in the lower left corner.

At the same time, ASXN's official Twitter account @asxn_r will continuously update key data related to the Hyperliquid ecosystem. If you do not want to use ASXN directly to dig for information, you can also follow their official Twitter. Personally, I believe ASXN's UI is well-designed and provides a smooth and comfortable experience.

Image source: ASXN

(2) Velo: Velo is also a data visualization dashboard website, but it can be used to query other data and is not a vertical website for Hyperliquid-related data. I often use it to compare the differences between Hyperliquid and CEX data.

Image source: Velo

(3) Hyperdash: Hyperdash is a trading analysis dashboard. Users can track the addresses with higher win rates or returns in Hyperliquid based on Hyperdash, essentially tracking the smart money on Hyperliquid.

Image source: Hyperdash

(4) HypurrScan: HypurrScan is the Layer 1 block explorer on Hyperliquid, which allows users to query all first-hand data related to Hyperliquid.

Image source: Hypurrscan

Trading Bot

After conducting thorough research and analysis, we can start moving!

(1) Hypurr Fun Bot: Hypurr Fun Bot is a bot specifically used for trading within the Hyperliquid ecosystem. Within the Hyperliquid ecosystem, it is divided into internal and external markets. The tokens we can directly trade on Hyperliquid are external tokens that need to compete for listing rights through auctions. Many tokens that have not directly listed on Hyperliquid can be traded internally. Users only need to recharge USDC from their Hyper account into the bot, and the method of use is similar to that of pump series bots.

However, it should be noted that the current auction prices on Hyperliquid's external market are exorbitant, with the most recent auction reaching as high as $480,000. The difficulty of tokens listing on the internal market will increase sharply, and risks need to be considered when entering the internal market.

Image source: Hypurr Fun Bot

(2) Hypercopy: Hypercopy is a copy trading bot within Hyperliquid, allowing users to input the addresses of Top Traders to choose which smart money to follow.

Image source: Hypercopy

(3) PVP BOT: PVP BOT is a Telegram trading bot of the Hyper ecosystem, which will sync member trades in real time after entering the Telegram group, allowing for PVP battles within the group.

Information dynamics

Hyperliquid News: If you want to keep up with the latest Hyperliquid information, such as knowing the latest auction prices, timely updates on token listings, and quickly tracking ecosystem trends, following @HyperliquidNews is your best choice. This Twitter channel will promptly push any information related to the Hyperliquid ecosystem, which can be understood as Hyper's Blockbeats!

Follow-up gameplay: Hyper ecosystem

Finally, based on the present and looking to the future. The spot prices on Hyperliquid have already soared. Currently, the core Hyper series assets like HYPE have a market cap of $8 billion, PURR has reached nearly $400 million, and HFUN has also reached $250 million. If you feel that the profit and loss ratio for entering now is relatively limited, even when considering Layer 1 valuations, we can focus on more substantial opportunities.

The opportunity of Hyperliquid's fish body also lies in the upcoming launch of 'HyperEVM'. Hyperliquid's technical architecture is unique, its stack consists of Hyperliquid L1 and HyperEVM (EVM), both existing under the same consensus mechanism (HyperBFT) but operating in independent execution environments. Hyperliquid L1 is a high-performance trading permission chain specifically designed for running perpetual contracts and spot order books. All high TPS native components can be realized through L1. HyperEVM is an EVM-compatible chain that supports commonly used tools from Ethereum and allows developers to deploy smart contracts. Smart contracts deployed on HyperEVM can directly access perpetual contracts and spots on L1. The specific launch time has not yet been determined.

Hyperliquid technical architecture diagram, image from the internet

When HyperEVM goes live, Hyperliquid will no longer be the current PerpDEX logic but rather 'application + trading platform'. Various EVM applications and ecosystems will flourish, and new financial gameplay generated around perp and HLP will surely continue to emerge. Below are some ecosystem projects summarized by me:

HyperSwap: A DEX native to Hyperliquid EVM, which has now launched on the testnet.

Kinetiq: An LSD project providing liquidity staking support for Hyperliquid.

HyperLendX: This project is the first lending platform on Hyperliquid, and it has already launched on the testnet.

Keiko Finance: A permissionless lending protocol with dynamic interest rates and liquidation ratios.

HyBridge: A cross-chain application of HyperLiquid that can quickly and seamlessly bridge EVM and SOL networks. (Note that this project name does not include 'per')

Hyperliquid Names: The Hyperliquid ecosystem domain name project.

Felix Protocol: A stablecoin project in the Hyperliquid ecosystem, allowing the borrowing of feUSD by collateralizing HYPE and mainstream assets.

Vegas GamebleFi: The first GamebleFi project that combines practicality and gaming through a fairness proof system.

Due to the length of the article, readers can refer to the more detailed Hyperliquid tool and ecosystem overview organized below for deeper research.

Overview of the Hyperliquid ecosystem, image from the internet

Amidst the FOMO, how to manage risk well?

Although the development of the Hyperliquid ecosystem is flourishing and racing to achieve 'catching up with SUI and surpassing SOL', there are also some potential risks. For instance, there is a risk of centralization, commonly referred to as 'data center chains'. According to ASXN data, there are currently 76 validators for Hyperliquid, but only 23 are active, and the ranking is relatively centralized; however, this issue will gradually improve in the future. Additionally, HYPE has low circulation and high FDV. Currently, HYPE's circulating market cap has reached about $9 billion, while FDV has soared to about $27 billion.

Despite this, rather than picking up coins that are continuously listing, it is better to give yourself a chance to embrace the new ecosystem.

*This article does not involve any investment advice

Related information:

(Behind the $6 billion market cap, Hyperliquid attempts to restructure the token listing landscape in the crypto industry)

(EVM not yet online, how to evaluate Hyperliquid's future?)