HyperLiquid is preparing to launch its own token, HYPE, on November 29, 2024. This token will serve as gas for HyperEVM and be used for trading on their decentralized exchange, HyperLiquid.
Launch of HYPE Token and Its Purpose
The HYPE token will act as the gas token for HyperEVM—the execution environment of HyperLiquid. It will also facilitate trading on HyperLiquid's decentralized exchange, where users can trade HYPE against USDC. Additionally, the Genesis event includes an airdrop to reward early users who participated in the HyperLiquid campaign.
HYPE Token Distribution
The total supply of HYPE will be capped at 1 billion tokens. The distribution is as follows:
* 31% for Genesis Distribution (310 million tokens): These tokens will be airdropped to users who participated in HyperLiquid's points campaign. This airdrop will be fully unlocked at the time of the genesis event. * 38.88% for Future Emissions & Community Rewards (388.88 million tokens): These tokens will be released over time as part of HyperLiquid’s reward system, promoting further growth and user engagement. * 23.8% for Core Contributors (238 million tokens): These tokens will be allocated to current and future contributors, with a one-year lock-up period. * 6% for the Hyper Foundation Budget (60 million tokens): These tokens will support the operational budget of HyperLiquid. * 0.3% for Community Grants (3 million tokens): A portion of the tokens will be allocated to grants for community-driven projects. * 0.012% for HIP-2 (120,000 tokens): These tokens will be allocated to the Hyperliquidity protocol. * No tokens will be allocated to private investors, centralized exchanges, or market makers.
HyperLiquid's Roadmap
The HYPE token is set to play a central role in the HyperLiquid decentralized exchange ecosystem. It will act as a tradable asset used for staking and securing the HyperBFT consensus mechanism, which is integral to the platform’s decentralized nature. The HyperBFT consensus algorithm, an optimized proof-of-stake model, allows for high throughput and near-instant finality, making HyperLiquid a scalable option for decentralized finance (DeFi). Furthermore, HYPE will serve as the native fuel for HyperEVM, enabling developers to build decentralized applications (dApps) directly on the HyperLiquid network.
With the launch of the HYPE token, HyperLiquid aims to strengthen its position in the decentralized finance world, offering users new opportunities for trading and network development.
