Singapore regulator flags Hyperliquid on investor alert list
Security & Exploits ·
MAS adds the perpetuals protocol to its Investor Alert List; Hyperliquid says the listing is not a ban or finding of wrongdoing and that it never claimed MAS licensing.
Hyperliquid has been added to the Monetary Authority of Singapore's Investor Alert List, a designation the protocol responded to directly, stating the inclusion "does not constitute a ban, enforcement action, or finding of wrongdoing," according to wublockchain.xyz. The protocol said it has never claimed to be licensed or authorized by MAS, and that it will continue engaging with regulators globally.
Hyperliquid's core defense rests on its architecture: the protocol describes itself as permissionless infrastructure where users retain self-custody of assets, meaning MAS's alert flags the platform's regulatory status rather than alleging control over user funds or misconduct in how the exchange operates. The MAS Investor Alert List typically names entities that may be wrongly perceived as licensed or regulated in Singapore, without itself constituting a formal enforcement action.
The regulatory flag lands as Hyperliquid's business metrics continue to expand. The protocol has processed $2.9 trillion in perpetual futures volume in 2025 and currently holds $7 billion in open interest, placing it among the largest perpetual futures exchanges by those measures. The HYPE token also recently rose 10% toward an all-time high, driven in part by ETF inflows reaching $209 million in assets under management and $1.12 billion in trading volume tied to SpaceX perpetual activity.
Other developments in the same period point to deepening institutional ties rather than retreat. Coinbase became the official USDC operator on Hyperliquid and staked $32 million in HYPE tokens, a move also linked to the token's 10% price increase. Hyperliquid additionally expanded its portfolio margin beta, raising leverage limits for accounts under $25 million, and separate analysis identified Hyperliquid alongside Chainlink as among the few DeFi projects whose token buybacks have exceeded emissions over the past 90 days.
What remains unresolved is how the MAS listing will affect Hyperliquid's access or reputation among Singapore-based users and institutions, and whether other regulators will take similar or more formal action. The protocol's public position — that permissionless design and self-custody insulate it from licensing requirements applicable to centralized platforms — has not been tested through any stated enforcement process, and MAS has not been described as pursuing further measures beyond the alert listing itself.