Hyperliquid (HYPE) has launched HIP-3, a major upgrade designed to change how new perpetual markets are created on-chain.
The feature introduces permissionless deployment of perpetual futures DEXs on Hyperliquid blockchain. It also sharply reduces taker fees, allowing new markets to begin trading at up to 90% below the protocol’s standard rates.
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Under HIP-3, deployers must stake 500,000 HYPE to launch a single perp DEX, though the requirement is expected to decline as the network develops.
Each DEX operates independently with its own margining, order books, and settings, and future upgrades may allow multiple DEXs under one stake.
The first three assets in any DEX can be listed without auction, while additional markets must pass a shared Dutch auction. At launch, only an isolated margin is supported.
Builders Gain Revenue Share
A key feature of HIP-3 is its builder-first revenue model, allowing deployers to earn 50% of all trading fees generated by their markets. User discounts remain intact, although fees on HIP-3 markets are set at twice the rate of validator-operated perps.
Planned upgrades include fee configurability for deployers, cross-margin support, improved asset-reservation tools, and collateral migration for DEXs affected by changes to quote asset status. Aligned stablecoin collateral will receive reduced fees once updated alignment rules are implemented.
Eyes New Asset Classes
The upgrade signals Hyperliquid’s interest in expanding beyond crypto-only markets. The team says HIP-3 could support new types of on-chain derivatives, including assets like equities and commodities, positioning the platform as a potential alternative to traditional derivatives exchanges.
Why This Matters
With rising developer participation and significantly lower fees for new markets, HIP-3 is positioned to accelerate the launch of on-chain derivatives and broaden the universe of assets that can be traded.
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People Also Ask:
HIP-3 (Hyperliquid Improvement Proposal 3) is an upgrade to the Hyperliquid blockchain that allows developers to create perpetual futures DEXs without needing centralized approval. It also reduces trading fees for new markets.
Any developer who stakes 500,000 HYPE can deploy a new perpetual DEX. The stake secures the deployer’s commitment and may be reduced as the network matures.
The first three assets can be listed without auction. Additional assets must go through a shared Dutch auction to ensure fair allocation.
Yes, Hyperliquid operates on-chain with permissionless market deployment. Governance and upgrades are managed via Hyperliquid Improvement Proposals (HIPs) like HIP-3.
Fees vary depending on the market and user tier. HIP-3 markets feature sharply reduced taker fees (up to 90% lower) to encourage new market creation, while deployers receive 50% of trading fees.
