In a notable shift within the cryptocurrency sector, Hyperliquid has emerged as a leader in the decentralized perpetual futures arena, surpassing the established player Coinbase in annual trading volume. Recording an impressive 2.6 trillion dollars in 2025, Hyperliquid has gained significant traction compared to Coinbase’s 1.4 trillion dollars, showcasing the growing preference for decentralized platforms among crypto derivatives traders.
What Fuels Hyperliquid’s Rise?
Hyperliquid operates on a proprietary Layer 1 blockchain, offering users swift transaction processing and low fees, which are significant draws for its customer base. Throughout 2025, the platform’s daily trading volumes approached 30 billion dollars, with monthly figures reaching immense levels. Total value locked on Hyperliquid reached 6 billion dollars, while open interest was around 16 billion dollars, reflecting its strong market position.
How Does Hyperliquid Attract Users?
In one year, Hyperliquid’s user base ballooned from 300,000 to over 1.4 million active users. This remarkable expansion is credited to the platform’s efficient operations and high user satisfaction, with little need for aggressive marketing. The native token, HYPE, benefited from a buy-and-burn strategy, leading to a 31.7% appreciation by early 2026, thus boosting its attractiveness as a long-term investment.
Coinbase Struggles to Compete
Coinbase remains a primary entry point for individual traders due to its regulatory compliance, but its higher transaction fees and centralized model are hurdles for professional traders. In contrast, Hyperliquid offers transparency and user control, allowing users to complete transactions securely on the blockchain.
Hyperliquid’s platform features smart contract-based risk management and an interface familiar to traditional exchange users, making it suitable for inexperienced traders. Observers point out that decentralized platforms are appealing to derivative traders who want to maintain control of their funds while engaging in competitive trading.
In light of competitive pressures, centralized exchanges face significant challenges. Notably, Coinbase’s stock plummeted by 27% since the beginning of the year, highlighting the vulnerability of centralized exchanges in current market conditions.
• Hyperliquid expanded its offerings with outcome-based contracts and options products, appealing to users with its “outcome-focused” trading feature introduced in the HIP-4 upgrade.
• This shift indicates a growing demand for blockchain-driven derivative products, with users showing continuous interest in innovative financial tools.
“Our platform’s rapid growth and increasing appeal to users are testaments to our commitment to innovation in the financial space,” Hyperliquid announced.
As Hyperliquid continues its upward trajectory, the rising demand for blockchain-based trading solutions reflects a broader trend of shifting preferences among cryptocurrency traders. The success of decentralized platforms like Hyperliquid poses a significant challenge to traditional exchanges, signaling a transformative phase in the world of cryptocurrency trading.
