HIP-3 on Hyperliquid: How Builder Markets Work HIP-3 Hyperliquid lets outside teams launch their own perpetual futures markets on Hyperliquid. It went live on mainnet on 13 October 2025. Mark
HIP-3 Hyperliquid lets outside teams launch their own perpetual futures markets on Hyperliquid. It went live on mainnet on 13 October 2025. Markets now cover stocks, commodities, indexes, and more. It has become a big story incrypto news this year. This guide explains how it works, what builders must put up, and where the risks lie.
HIP stands for Hyperliquid Improvement Proposal. It is how the network adds major features. A perpetual futures contract, or “perp,” tracks the price of an asset and never expires. New to these terms? Thecrypto dictionary covers the basics.
Before HIP-3, the core team chose which perps got listed. Now a qualified builder can run its own perp exchange inside HyperCore, the network’s trading engine. The builder picks the asset, the oracle, the leverage limits, the fees, and how settlement works. An oracle is a data feed that tells the market an asset’s price. Oracle trust is a common theme inChainlink and oracle news.
Order matching, margin, and liquidations still run on shared HyperCore systems. So a HIP-3 market uses the same engine as the main crypto perps. The builder just defines the market.
Per theofficial Hyperliquid documentation, a mainnet deployer of a HIP-3 Hyperliquid mmarket must stake 500,000 HYPE, the network’s native token. Staking means locking tokens as a security deposit. The rule applies to the whole exchange, not to each market inside it.
The first three assets on any exchange skip the auction. After that, assets go through a Dutch auction. In this type of auction, the price starts high and falls until someone accepts it. All builder exchanges share the same auction.
The deposit can also be cut. Validators can slash a deployer’s stake by vote if a market is run in a harmful way. The stake stays at risk during the seven-day unstaking queue. Slashed tokens are burned. They are not paid to affected traders.
Item
Detail
Mainnet launch
13 October 2025
Stake per deployer
500,000 HYPE
Auction rule
First three assets skip the auction
Later assets
Shared Dutch auction
Fee level
Twice the standard perp fee (as reported)
Deployer share
Up to 50% of fees
Reports say markets charge twice the fees of validator-run perps. Deployers can keep up to half of that revenue.
Open interest is the value of positions that are still open. It shows how much a market is used. On 16 October 2026, stock, index, ETF, and valuation-linked markets held about $3.029 billion in open interest, per a market data report. That covered ten known deployments and 124 mapped markets. You can follow related trends in ourexchanges coverage.
Still, activity sits with very few players. A June 2026 research study found that one builder, trade.xyz, held over 90% of HIP-3 open interest. A Q3 2026 review said the same builder earned 97.9% of HIP-3 fee revenue on $251.3 billion in volume. Other deployers remain small. Numbers differ by source and period, so check live data.
On 3 September 2026, Hyperliquid announced HIP-3*. It is a set of optional features for deployers, planned for a future upgrade. In the early design, a deployer can keep a chain allowlist of wallets that may trade a market. An appointed sub-deployer can do this too.
Reports say it is live on testnet. No mainnet date is confirmed. Existing markets will not change. Open markets can run without an allowlist.
Some coverage linked the change to possible regulated access for certain deployers. The announcement calls deployers independent operators. They must meet their own requirements. For more protocol changes, see ourblockchain news section.
In the US, the CFTC adopted apolicy statement on perpetual contracts on 29 May 2026.
It was laterpublished in the Federal Register. The statement encourages firms to voluntarily submit perps tied to equities and metals for case-by-case review. That same day, the agency approved one registered exchange’s bitcoin perp contract.
A market report dated 20 October 2026 stressed that this approval did not cover HIP-3 markets. It also did not cover access to trade.xyz, which limits US access to its interface. The legal status of tokenized stock perps is still open.
The agency’s guidance on virtual currency trading warns that leverage raises risk. It also says no strategy is guaranteed. A separate resource lists 14 digital asset risks, such as cyber, market, and fraud risks. Neither document speaks to HIP-3 directly.
HIP-3 Hyperliquid perps use leverage. That means a trader holds a bigger position than the cash they put in. Small price moves can trigger liquidation, which is the forced closing of a position. Each market also relies on its builder’s oracle. A faulty price feed can hurt traders. New markets often have thin liquidity too.
Builders face risk as well, since a large HYPE stake can be slashed. Legal rules are still taking shape. Statements from the project are claims, not independent proof. A good first step is to read a market’s rules before you trade. More explainers are collected in ourcrypto blogs.
A June 2026 study pointed to a paradox. HIP-3 open interest passed $3 billion, yet over 90% sat with one builder. That weakens the idea of a widely spread ecosystem. A Q3 2026 review saw the framework as a steady fee source for the base network. Both are readings of public data. They are not guarantees, and neither is investment advice.
The next confirmed milestone is the mainnet release of HIP-3*. No date has been announced. Live open interest, builder concentration, and any CFTC review of equity-linked perps are also worth tracking as the HIP-3 Hyperliquid markets grow.
Disclaimer: This article is for information only and is not financial advice. Crypto assets are volatile and carry risk, including loss of capital. Do your own research before making any investment decision.
