Hyperliquid’s RWA perps boom is eating into the revenue that backs HYPE Finance
Hyperliquid's revenue has fallen four quarters running while open interest hit a record high. The platform's gross protocol revenue peaked at $357 million in the third quarter of 2025 and has fallen every quarter since.
Intelligence analysis by Llama
Hyperliquid's revenue has declined despite a record high in open interest, with the platform's gross protocol revenue falling every quarter since the third quarter of 2025.
Imagine you have a big store where people can trade things like oil and gold. Even though more and more people are coming to the store, the store is making less money. This is because the store is giving half of the money it makes to other people who help run the store. This is making it hard for the store to make money, and it's causing problems for the people who own the store.
Analysis
Hyperliquid's Revenue Decline: A Cause for Concern
Hyperliquid's revenue has been on a downward trend for the past four quarters, despite a record high in open interest. This decline is significant, as Hyperliquid has been a major player in the crypto market. The platform's gross protocol revenue peaked at $357 million in the third quarter of 2025 and has fallen every quarter since. This decline is a cause for concern, as it may have implications for the broader industry.
The Rise of Real-World Asset Perps
Real-world asset perps, contracts on things like crude oil, gold, and Nvidia, have been a major driver of Hyperliquid's growth. These contracts have hit a record $3.6 billion in open interest this month and have overtaken bitcoin as the platform's largest market by that measure. This growth is largely due to the popularity of Trade.xyz, which accounts for more than 90% of all HIP-3 open interest.
The Impact of Hyperliquid's Fee-Sharing Program
Hyperliquid's fee-sharing program, which hands half the platform's volume to outside builders, has also contributed to the decline in revenue. The program has led to a significant increase in the cost of revenue, with cost of revenue now accounting for 18% of gross revenue. This has resulted in a decline in the platform's earnings, which has had a negative impact on the price of HYPE.
The Future of Hyperliquid
Despite the decline in revenue, Hyperliquid remains a major player in the crypto market. The platform's growth in real-world asset perps and its fee-sharing program have created new opportunities for builders and traders. However, the decline in revenue is a cause for concern, and the platform will need to find ways to address this issue in order to continue growing.
Key points
- Hyperliquid's revenue has declined for the past four quarters despite a record high in open interest.
- Real-world asset perps have been a major driver of Hyperliquid's growth, with contracts on things like crude oil, gold, and Nvidia hitting a record $3.6 billion in open interest this month.
- Hyperliquid's fee-sharing program has contributed to the decline in revenue, with cost of revenue now accounting for 18% of gross revenue.
- The platform's growth in real-world asset perps and its fee-sharing program have created new opportunities for builders and traders.
- Hyperliquid remains a major player in the crypto market, but the decline in revenue is a cause for concern.
If Hyperliquid can find a way to address the decline in revenue, it may be able to continue growing and becoming a major player in the crypto market. The platform's growth in real-world asset perps and its fee-sharing program have created new opportunities for builders and traders, and if managed correctly, these opportunities could lead to increased revenue and growth.
If Hyperliquid is unable to address the decline in revenue, it may struggle to continue growing and may even face financial difficulties. The platform's dependence on a single deployer, Trade.xyz, is a risk, and if Trade.xyz were to leave the platform, it could have a significant impact on Hyperliquid's revenue.
Market signals
- Gold The growth of real-world asset perps on Hyperliquid has driven demand for gold, per the article's framing of investor reaction.
- Crude Oil The growth of real-world asset perps on Hyperliquid has driven demand for crude oil, per the article's framing of investor reaction.
AI-generated analysis of potential market relevance. Not financial advice.
