Hyperliquid's HyperEVM is a very interesting opportunity right now. The ecosystem has some solid incentive programs that most people haven't tapped into yet, and it's not as crowded as other chains. It could be worth a look if you're exploring newer DeFi stuff.
Hyperliquid HyperEVM
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Rewards
Past rewards
$1,700 $9,600
Details
Minimal cost
~$50
Minimum deposit
$500
Time required
45 min.
Category
Mainnet
Rating
9/10
Risk
Medium
Introduction: From Hyperliquid to HyperEVM
Hyperliquid is a high-performance Layer-1 blockchain and decentralized exchange (DEX). It’s designed to combine centralized-exchange speed with on-chain transparency. In early 2025, Hyperliquid introduced HyperEVM, a major upgrade marking “Season 2” of its ecosystem. HyperEVM is an Ethereum-compatible execution environment that runs under the same consensus as HyperCore. Which is a high-performance execution layer that powers its native order book trading engine and consensus, enabling ultra-fast, on-chain transactions.
This integration lets Hyperliquid work as one blockchain. It powers both a fast exchange and an EVM platform.
The network finalizes transactions in under a second and processes hundreds of thousands of them per second. This gives HyperEVM much better speed than Ethereum.
The HyperEVM launch was intentionally "alpha" - no private allocations, no insider advantages, and everyone started equal.
Source: Hyper Foundation
Decentralized Staking in HyperEVM
Staking HYPE is secured entirely on-chain through Hyperliquid’s delegated proof-of-stake mechanism. Users can stake their HYPE via the Hyperliquid app by transferring tokens into a staking account and delegating them to one or more validators. Each validator must self-delegate a minimum of 10,000 HYPE and can then begin producing blocks and earning rewards.
Validators on Hyperliquid may take a small commission from the staking rewards they generate, but the protocol sets a strict cap of 1%. This ensures that stakers always keep at least 99% of the rewards earned by their chosen validator.
When you stake HYPE, your tokens are moved into a staking account and delegated to a validator. Two timing rules apply:
- Delegation Lock: Once you delegate your HYPE, it is locked for 1 day. After that, you can undelegate or reassign your stake to a different validator at any time.
- Unstaking (Unbonding) Period: If you choose to fully withdraw your staked HYPE back to your wallet (i.e. exit staking), there is a 7-day unbonding period. During this time, your HYPE is locked and non-transferable until the withdrawal is complete.
These mechanisms ensure flexibility for stakers while maintaining network stability.
Currently, there are around 25 active validators, and users can delegate to any of them based on commission rates and performance. The Hyper Foundation operates several validators itself with low fees and high reliability. It also supports decentralization through a Delegation Program that delegates foundation-held HYPE to independent validators.
Beyond direct staking, HyperEVM has enabled several innovative decentralized staking solutions:
StakedHYPE (stHYPE)
stHYPE is a liquid staking protocol where users stake HYPE and receive stHYPE tokens in return. These tokens remain liquid and can be traded or used in DeFi while still earning staking rewards. stHYPE accrues value over time, reflecting the underlying staking yield. This unlocks the liquidity of over $14 billion worth of staked HYPE and brings it into the DeFi ecosystem. They also count toward on-chain activity for potential airdrop eligibility.
Network Participation & Current Metrics
Hyperliquid’s ecosystem is still early, but growing rapidly. Daily transaction volume on HyperEVM has surpassed 300,000, with over 20,000 daily active addresses. The total value locked (TVL) across HyperEVM remains around $1B, showing a potential for participation.
Source: HypeScreener
Staking Participation
Over 417 million HYPE is currently staked, representing roughly 41.8% of the total supply and around $14B in value (as of June 2025). Staking APR is around 2.2%, and rewards are auto-compounded daily. The reward mechanism is similar to Ethereum’s, where the APR decreases as more HYPE is staked.Staking not only yields steady returns but also contributes toward eligibility for Season 2 airdrops. With relatively few stakers compared to the potential user base, new users still have an excellent chance to earn meaningful staking rewards and airdrop points.
HyperEVM Usage
Many users are bridging assets to the EVM side of the network to engage in DeFi protocols like HyperSwap, KittenSwap, HyperLend, and others. The TVL of over $1B includes staked derivatives like stHYPE and capital in lending/borrowing platforms.
Activity is increasing, but the user base remains small relative to more mature ecosystems. This creates a prime opportunity for early adopters to gain rewards before the network reaches broader saturation.
Hyper Foundation’s $HYPE Holdings and Incentive Strategy
The Hyper Foundation plays a key role in network economics. Roughly 31% of the HYPE supply was airdropped to users, while 39–42% is reserved for future community rewards (worth around $14B as of June 2025). Around 27–30% of the total supply is held by the foundation and core team. These holdings are mostly staked, securing the network and earning the same rewards as community stakers.
This large stake ensures high network security and aligns the foundation’s interests with the community. The foundation operates low-fee validators and uses its Delegation Program to support decentralized validators.
The presence of a large staked treasury slightly compresses staking APR but distributes rewards more equitably and slowly over time. This ensures sustainable emissions and network longevity.
Incentives and Airdrops
The foundation has large treasury funds campaigns like Season 2, which rewards users for a wide range of on-chain actions. These include: trading, staking, lending, using dApps, and referrals. With over 40% of the HYPE supply still to be distributed, active participation can yield significant gains.
The incentive strategy is designed to reward meaningful engagement. Users who actively stake, trade, or interact with dApps can earn both base rewards and airdrop points, potentially resulting in substantial token bonuses.
Conclusion
HyperEVM and Season 2 represent a rare opportunity in crypto: a massive, high-performance protocol with a multibillion-dollar market cap, yet surprisingly low user saturation. Despite Hyperliquid’s scale and infrastructure, the number of active users remains modest, meaning early adopters still have a real edge.
There is also a large portion of the $HYPE supply - over 40%, still sitting in the Hyper Foundation treasury, reserved specifically for community rewards. This means that staking, using HyperEVM dApps, or participating in DeFi protocols doesn’t just earn you baseline returns; it could position you for significant additional rewards through ongoing and future distributions. Given the size of the treasury and the project’s valuation, even small contributors today could earn meaningful HYPE if they're active and consistent.
With minimal competition, a deep rewards pool, and world-class tech, Hyperliquid is one of the few places where early participation can still translate into real upside. Whether you're here to stake, experiment with DeFi, or simply explore, now is the time to get involved.
Pros
Super Fast and Smooth Trading
You get extremely fast transactions on Hyperliquid. It’s built from the ground up as its own Layer-1 blockchain, so it doesn't depend on Ethereum. It finalizes trades in under a second and handles hundreds of thousands at a time. This gives you the speed of centralized exchanges while keeping your control over your funds.
Everything in One Place with Ethereum Support
You don’t have to jump between different blockchains. Hyperliquid supports Ethereum smart contracts on the same chain that powers its trading engine. That means you can trade, stake, and use DeFi apps without switching networks. This setup makes your experience simpler and more efficient
Fair Token Distribution Without Insiders
You don’t need to worry about early investors having an unfair advantage. Hyperliquid didn’t raise money from venture capital firms or give insiders special token deals. Instead, it gave out 31 percent of its tokens to early users and saved over 40 percent for future rewards. This gives you a fairer chance to benefit from the ecosystem.
Big Rewards Still Available
A large part of the token supply, more than 40 percent, is still waiting to be given out. These rewards go to people who trade, stake, or use apps on the network. You can start earning by doing simple tasks, without needing much time or money.
Less Competition Means More Opportunity
Not many people are using Hyperliquid yet. With only about 30,000 daily active users, the network is still early. This gives you a better chance to earn rewards and grow your presence before more people join.
DeFi Ecosystem Is Growing Fast
New DeFi apps are launching all the time. These include exchanges, lending platforms, and staking tools. Many of these apps might give you free tokens just for using them early. By exploring now, you could benefit from multiple airdrops.
Simple and Easy Onboarding
Getting started on Hyperliquid is straightforward. You can handle deposits, trading, staking, and more using one app. It works with popular wallets like MetaMask and avoids the need for confusing steps or multiple bridges.
Cons
DeFi Apps Are Still in Early Stages
Many apps on Hyperliquid are still new. Some have not been fully tested or audited. You might run into bugs, security issues, or limited liquidity. Be cautious when using these early platforms, and never invest more than you can afford to lose.
Staking Rewards Are Lower Than Some Alternatives
Staking HYPE gives you about 2.2 percent per year. This return is lower than what other networks or riskier DeFi farms might offer. If you're focused only on passive income, it might feel underwhelming.
Network Is Not Yet Fully Decentralized
Right now, only around 25 validators run the network, and the Hyper Foundation holds a lot of the stake. This helps with stability early on, but it means control still sits with a small group. True decentralization will take more time.
Strategies Can Be Complex for Best Returns
To get the most rewards, you often need to use several apps, move funds between them, and watch your investments closely. This takes effort and can be confusing if you’re not already experienced with DeFi.
No On-Chain Governance Yet
You can't vote on how Hyperliquid is managed. HYPE holders don’t have any direct say over decisions or how the treasury is used. There is no system for proposals or voting yet, which limits your control as a user.
Not Fully Integrated with Ethereum Yet
Even though HyperEVM supports Ethereum-style contracts, it doesn’t run as a part of Ethereum’s ecosystem. It’s its own chain, so you have to move assets in and out manually. Some tools from Ethereum may not work here yet, which can make it feel disconnected.
How to participate?
Every opportunity has its own rules. Following these closely can significantly increase your chances of qualifying for rewards. Here’s a list of recommendations from our team to help maximise your chances of benefiting from this opportunity.
- Minimum Deposit for Participation: To meaningfully engage in the HyperEVM ecosystem, a deposit of at least $500–$1,000 is recommended. This amount allows users to interact across multiple protocols and qualify for potential reward multipliers.
- Key Actions to Maximize Points: Efficient participation includes a combination of activities: staking, lending, borrowing, bridging assets, and generating on-chain swap volume. Users are encouraged to rotate capital through various actions rather than focusing on a single method.
- Looping Strategies for Advanced Users: Advanced users can amplify their participation by using borrowed assets to re-enter the system. This involves supplying assets, borrowing against them, and redeploying the borrowed capital. This allows for greater protocol usage without adding fresh funds.
- Undersaturated Ecosystem: Despite a $1B TVL and strong infrastructure, Hyperliquid still has a relatively small active user base. This creates an opportunity for early users to stand out and earn a high share of future rewards.
- Large Reward Pool Still Available: Over 40% of the HYPE supply remains in the treasury, specifically allocated for incentivizing community participation. Combined with Hyperliquid’s high market cap, this suggests that future distributions could be significant, even for medium-sized participants.