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Global markets shift on-chain as tokenized assets challenge crypto dominance on Hyperliquid

  • Hyperliquid is seeing a surge in tokenized asset trading volume, increasingly competing with cryptocurrency dominance on the platform.
  • HIP-3 accounts for 40% of Hyperliquid's total volume, highlighting the growing role of tokenized assets on the platform.
  • The launch of a licensed S&P 500 perpetual contract on Hyperliquid may signal early signs of capital exploring on-chain alternatives to traditional markets.

Hyperliquid (HYPE), a Decentralized Exchange (DEX) focused on perpetuals, is expanding its presence in physical assets through tokenized trading, accounting for 40% of total platform volume. This reflects global markets pivoting toward decentralized platforms offering 24/7 trading amid high volatility linked to the ongoing Middle East war. 

Hyperliquid onboards S&P 500 as tokenized assets trading volume challenges crypto’s share 

Hyperliquid is the largest high-revenue protocol after stablecoins in the cryptocurrency market. DeFiLlama data shows Hyperliquid collected $14.55 million in revenue over the last seven days, outpacing Pump.fun at $8.44 million during the same period. 

Protocol rankings. Source: DeFiLlama

The exchange primarily generated revenue from perpetual contracts for crypto assets, but the Hyperliquid Improvement Protocol (HIP-3) opened the door to builder-deployed perpetual contracts, requiring a 500,000 HYPE deposit. These tokenized asset trading contracts include Gold, Silver, Oil (Brent and WTI), and many others, provided by market makers such as Trade[XYZ], which dominates 85% of HIP-3 trading volume with $3.56 billions recorded on Thursday.

HIP-3 volume data. Source: Hyperscreener

Trade[XYZ] secured the first and only one-of-its-kind license to launch an S&P 500 perpetual market on Hyperliquid, enabling on-chain access. This will extend the S&P 500 – a global index with over $1 trillion in daily trading volume – to traders outside traditional exchanges, signaling a shift from traditional markets to a 24/7 on-chain platform providing higher leverage amid rising volatility in precious metals and energy markets.  

Cameron Drinkwater, Chief Product & Operations Officer at S&P Dow Jones Indices, said, “We believe digitally-native investors should demand the institutional-quality standards that define our indices, and we are thrilled to work with Trade[XYZ] to do so." The increasing global access to tokenized versions of Real World Assets (RWA) on Hyperliquid reflects an infrastructural change in legacy markets. 

Hyperliquid’s HYPE token is trading near $40 at press time on Friday after a 6% drop the previous day. A steady increase in demand for tokenized asset perpetual contracts could be reflected in the HYPE price trend. Arthur Hayes, a well-known crypto investor, predicts the HYPE token could reach $150 in August 2026.

Author

Vishal Dixit

Vishal Dixit

FXStreet

Vishal Dixit holds a B.Sc. in Chemistry from Wilson College but found his true calling in the world of crypto.

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