Hyperliquid Clarifies HYPE Token Shorting By Ex-Employee
Hyperliquid addressed concerns regarding a wallet suspected of being tied to its internal team and selling significant amounts of HYPE tokens. Co-founder Iliensinc clarified that the wallet in question belongs to a former employee who was terminated in Q1 2024 and emphasized that this individual’s actions do not represent the firm’s values. Hyperliquid enforces strict ethical trading policies, explicitly prohibiting employees and contractors from trading HYPE derivatives or acting on material non-public information. Founded in late 2022, Hyperliquid has become a leading decentralized perpetuals exchange, capturing about 73% of the perp DEX market and processing $653 billion in Q2 2025. Despite high praise from BitMEX co-founder Arthur Hayes, who called Hyperliquid the cycle’s "best story," HYPE has been volatile, reaching an all-time high of nearly $60 in September 2025 before dropping to $25.40—a 24% decrease this year but up roughly 290% since launch.
