Hyperliquid plants a policy flag in Washington with $29M token endowment Hyperliquid (HYPE), the blockchain-native exchange that processed over $250 billion in perpetual futures trading last month, has launched a Washington, D.C. policy and research arm aimed at steering how U.S. lawmakers regulate decentralized finance (DeFi). The new nonprofit, the Hyperliquid Policy Center, will focus on regulatory frameworks for decentralized exchanges, perpetual futures and blockchain-based market infrastructure, the company said in a Wednesday press release. Jake Chervinsky — a high-profile crypto lawyer and former policy lead at the Blockchain Association — will serve as founder and CEO. Why it matters The move comes as Congress and federal agencies grapple with how to oversee crypto trading platforms and derivatives. Perpetual futures — leveraged contracts without an expiration date that are widely traded on offshore platforms — occupy a legal gray area in the U.S., and lawmakers are actively negotiating legislation that could shape the future of DeFi. Hyperliquid’s platform lets traders execute perpetual futures directly on blockchain rails without a central intermediary; trades settle onchain rather than through traditional brokers or clearinghouses. The exchange has rapidly scaled into one of the largest crypto derivatives venues: DefiLlama data shows it handled more than $250 billion in perpetual volume and $6.6 billion in spot volume over the past month. “Financial markets are migrating onto public blockchains because they offer efficiency, transparency and resilience that legacy systems cannot match,” Chervinsky said in the announcement. “Now the United States must choose: We can either adopt new rules that allow this innovation to flourish here at home, or we can wait and watch as other nations seize the opportunity.” Funding and positioning The Hyper Foundation — which supports the Hyperliquid ecosystem — is contributing 1 million HYPE tokens (roughly $29 million at current values) to fund the Policy Center’s launch. That commitment is smaller than what was put toward the Ripple-backed National Cryptocurrency Association at its launch last year, but it outstrips recent public spending by some other Washington crypto groups: the Digital Chamber spent about $5.6 million in 2024 and the Blockchain Association about $8.3 million, according to public filings. The Hyperliquid Policy Center joins a crowded field of crypto-policy organizations in D.C., including the DeFi Education Fund, Solana Policy Institute, Digital Chamber, Blockchain Association and Crypto Council for Innovation. The new group says it will brief lawmakers, publish technical research and advocate for rules designed specifically for decentralized systems. Bottom line With significant onchain trading volume and a multimillion-dollar token-backed endowment, Hyperliquid’s policy arm is an explicit bet that shaping U.S. DeFi rules from inside the capital will help keep crypto market innovation domestic rather than ceded to other jurisdictions. Read more AI-generated news on: undefined/news

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