Arbitrum-based decentralized change Hyperliquid continues to climb the DeFi rankings and has now surpassed dYdX when it comes to whole worth locked (TVL).

In keeping with DefiLlama, Hyperliquid has $530 million in TVL versus dYdX’s $484 million. This determine represents a brand new all-time excessive and locations Hyperliquid in second place amongst derivatives platforms, proper behind GMX, which showcases $542 million.

Rounding out the highest 5 when it comes to TVL are Solana-based Jupiter with $415 million and Drift with $365 million.

Hyperliquid has loved a stellar 2024. Simply six weeks in the past, the platform ranked eighth for TVL. However the driver for its most up-to-date surge seems to be the brand new factors program Hyperliquid unveiled on Might 29, which has customers flocking to the platform.

The brand new program started on Might 29, and the primary snapshot for eligible recipients ends right now. The staff is distributing 700,000 factors weekly over 4 months, together with an extra 2 million factors per week for exercise between Might 1 and Might 28.

The group’s response was blended. Many decried Hyperliquid’s resolution to lengthen the incentives program and thereby postpone its token launch and airdrop. That hasn’t stopped merchants from piling in, nonetheless.

Defending Hyperliquid

In keeping with Steven, a founding member of Yunt Capital, which has backed a number of the largest corporations in crypto, together with Zerion, Hyperliquid has distributed roughly 51 million factors thus far over 4 intervals.

He says the challenge has been making an attempt to reward its earliest customers and is clearly intent on shifting previous its perpetual dex tag right into a Layer 1.

“The wording from the announcement shows that the team is making an effort to spread awareness that HL is an L1 and not just a perps dex,” Steven posted on Might 29, the identical day as Hyperliquid’s announcement. “To me, this is a hint that the plan is to allocate a majority of the points to non-perps related features.”

Steven additionally pointed to PURR holders as favored by Hyperliquid. “In April, the team heavily rewarded PURR holders with points, so a continuation of this behavior seems likely,” he stated. PURR, which was the primary spot token launched on Hyperliquid, soared 23% right now.

Milestones earlier than Token

Whereas some customers could be disenchanted that the token era occasion (TGE) for Hyperliquid tokens isn’t imminent, the staff seems to wish to full a sure set of objectives earlier than launching its token.

The pseudonymous Chameleon Jeff, who leads Hyperliquid, wrote on X on Might 29 about three major objectives earlier than distributing its token. These embody deploying the native EVM, seamlessly integrating the EVM with current native elements, and totally decentralizing the community (though he shared no particulars on how this is able to happen).

For Steven, the transfer to stall the token launch and as an alternative do one other spherical of factors would possibly end up for the perfect. “By first proving to the market that HL should be valued like an L1, the token will be priced higher on TGE. Isn’t that what everyone wants at the end of the day?” he concluded.