Hyperliquid must draw developers or risk unraveling: VanEck
Hyperliquid, a layer-1 blockchain network, requires a strong developer community to maintain its $25 billion market capitalization, according to asset manager VanEck. The HYPE token, launched in November, has seen significant value but lacks developer engagement. Hyperliquid's perpetual futures exchange dominates with a 70% market share and handles $260 million in daily transactions. The decentralized exchange (DEX) sector experienced record trading volumes of $433 billion in December. The HYPE token increased over 500% since its launch but has retraced to around $25. Hyperliquid plans to launch an Ethereum Virtual Machine (EVM) smart contract platform in 2025 to diversify revenue and support additional applications. Currently, several Hyperliquid-native DApps are in testing, indicating potential growth.
