The Hyperliquid team announced a reduction in the volume of upcoming team token emissions to 140,000. The company reported that Hyperliquid Labs assets will be unstaked on Thursday, with distribution to employees set for February 6.
According to a message in the project’s Discord channel, next month’s token release will be 140,000. This is significantly less compared to January’s 1.2 million and December’s 2.6 million unlocked tokens.
Hyperliquid Cuts Token Distribution From 1.2 Million to 140,000
The reduction in upcoming team token unlocks means a decrease in distributions by about 90%. This will also give traders a better opportunity to track the token supply schedule and assess the potential impact on price.
According to the company, reducing the volume of unlocks may help stabilize token liquidity and reduce selling pressure. However, Hyperliquid did not disclose detailed reasons for this decision.
“The initial stage of any blockchain is an important part of its history that cannot be erased. The original spirit of BTC was a permissionless network open to all. Hyperliquid’s distribution followed this philosophy, as tokens were fully allocated to early users, while key developers were excluded,” said Jeff Yan, CEO and co-founder of Hyperliquid.
The reduction in team token unlocks may cause short-term volatility for HYPE, but the sharp drop in emissions could also reduce market pressure in the coming weeks. At the time of publication, HYPE was trading at $34.3, down 0.72% over the past 24 hours. Over the past 7 days, the asset has grown by nearly 57%, and in 30 days has gained more than 34%.
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Head of Hyperion DeFi Hyunsu Chong noted that the growth of HYPE reflects the popularity of traditional instruments such as futures and ETF tied to digital assets. He also emphasized that Hyperliquid became the first public company in the US to form a long-term treasury in HYPE tokens. According to on-chain analytics, by the end of last year, the company held more than 1.4 million HYPE on its balance sheet.
According to Chong, Hyperliquid is now becoming a platform where different asset classes converge amid the trend toward tokenization. He added that the platform has evolved from a decentralized exchange for trading perpetual futures to a venue where indexes, stocks, and commodities are available.
Hyperliquid’s HIP-3 Framework Sets New All-Time Highs Every Week
On Monday, Jeff Yan reported that Hyperliquid quietly reached a major milestone, becoming the world’s most liquid platform for crypto asset price discovery. He also noted that the platform has taken the top spot in liquidity among perpetual futures markets for traditional financial assets.
Hyunsu Chong noted that the shift in trading focus became possible after the launch of the Hyperliquid Improvement Proposal-3 initiative three months ago. According to him, HIP-3 now drives the platform’s development, and open interest in this segment is hitting new all-time highs nearly every week. Earlier this week, the OI figure reached a record $790 million amid increased commodities trading.
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Hyunsu noted that HIP-3 has already attracted more than $1 billion in open interest, about $25 billion in total trading volume, and over $3 million in fees. He added that platform users can now trade stocks and gain exposure to precious metals.
Separately, Hyunsu highlighted the Hyperliquid token burn mechanism, in which HYPE is destroyed using protocol fees. Nearly 97% of fee revenue is used to buy back HYPE from the market and remove it from circulation. According to him, this is a deflationary mechanism with no analogues in any other blockchain ecosystem. He also noted that Hyperliquid’s 24/7 availability on traditional asset markets allows traders to get fairer spot prices outside standard trading hours, including weekends when traditional markets are usually closed.
