From Casino Tools to Global Pricing Machines: Hyperiquid
By Zhou, ChainCatcher
Recently, CEO Jeffrey Sprecher, founder of the New York Stock Exchange parent company Intercontinental Exchange (ICE), attended the Bernstein Investor Conference。
When asked by the moderator how to view the competitive threat posed by Hyperliquid, Sprecher revealed that he had met with the Hyperliquid team on several occasions to discuss overlaps and potential opportunities for cooperation. He called the other team extremely smart and described their communication with each other in terms of mutual admiration。
At the same time, he threw a sharp counter-question at the regulators. If it's illegal to renew the contract in the chain, why didn't Hyperliquid get a custody letter? If so, why are traditional exchanges not allowed to participate? Why are they prohibited from doing what has happened globally
That's a big deal. The head of the world ' s largest traditional exchange, using the legitimate presence of competitors in front of investors, questioned the double standards of regulators。
ICEYesOpen the roadPolicy
Right hereBenIn June, Bloomberg reported that ICE and the Chicago Commodity Exchange (CME) had joined forces to pressure the United States Commodity Futures Trading Commission (CFTC) to initiate a review of Hyperliquid. It is widely interpreted by the outside world as traditional giants united against new forces。
Sprecher categorically denied this narrative at the meeting. He says:ICE is not panicking, but is communicating and learning from each other with the Hyperliquid team。"We are helping them understand our world, and they are helping us to understand their world. In that sense, it's a mutual admiration."
THE CORE OF THE DIALOGUE WITH REGULATORS IS ALWAYS ASKING ICE ITSELF WHETHER IT CAN ENTER THE MARKET, NOT BLOCK EACH OTHER。He said, "If you think this is illegal, why didn't they get the same custody letter as us?"
Looking at these two clues in parallel, Sprecher's strategy is clear. Whether it is a private meeting to map each other ' s cards or to obtain admission from the regulator, it is the same set of road opening logic, but at different levels of implementation。
Actually..I don't knowICE's layout has accelerated landing. In March of this year, ICE obtained a seat on the board of directors with $25 billion in valuation; and in the same month, it completed a $600 million cash investment in Polymarket, the forecast market platform. Last week, ICE and OKX jointly launched a sustainable futures contract for Brent crude oil and WTI crude oil, directly into the market already dominated by Hyperliquid。
And..FutureMaybeIn the form of cooperation with Hyperliquid, Sprecher did not disclose details but referred to areas where overlap was being explored. But from the recent layout of ICE, the direction is relatively clear. The ICE model of collaboration with OKX is ICE providing benchmark pricing, encryption platform implementation. The same division of labour applies to Hyperliquid - ICE, which holds the most important global pricing power for commodities and financial assets, and Hyperliquid, which has a 24-hour, uninterrupted chain infrastructure, whose complementarities are not difficult to imagine。
Sprecher also specifically named SpaceX for the upcoming IPO. TradeXYZ, a platform based on Hyperliquid, has launched SpaceX pre-IPO lasting contract. The contract did not require the holding of any SpaceX shares and was not authorized by the company to go online for an initial reference price of $150, corresponding to an implicit valuation of approximately $178 trillion, which rose to $216 in the short term。
This post is part of our special coverage Global Voices 2011On June 11th, SpaceX was officially listedEVERYONE WILL SEE THE GAP BETWEEN CHAIN PRICING AND THE ULTIMATE IPO PRICEI don't know。In his view, this would be a critical moment in the ability to discover prices in the chain, when regulators and market participantsAll will be forced to state that the price is either meaningless or extremely important。
PerpIdentityChange
ICE's sense of urgency at this moment is not derived from Hyperliquid's own volume, but from a fundamental identity shift that the instrument of a lasting contract is undergoing。
Encryption Researcher@Pxstar It is called the third moral liberation of the industry。
The lasting contract was invented by BitMEX and for a long time it was seen as the worst gambling tool in the currency ring. The exchange is profitable, but the average life cycle of ordinary users is less than three months, and most of them have zero assets within 100 days. Its liquidity does not reverse the spot market, but erodes it。
The turning point occurred when Hyperliquid extended the object of the contract of durability to traditional assets such as crude oil, stock pre-IPO through HIP-3. The tool itself has not changed, but it begins to serve real price discovery needs。
Between the beginning of this year and the end of March, the situation in the Middle East continued to be tense, with significant geopolitical decisions focused on weekends. The traditional oil futures market was closed at this time, and Hyperliquid's contract for the renewal of crude oil filled this gap。
DataShowI don't knowThe cumulative volume of transactions increased from $339 million to $7.3 billion in a few weeks, more than 20 times the increase, and the size of the open contracts expanded from less than $200 million to more than $126 billion。
This post is part of our special coverage Global Voices 2011It was during the Middle East conflict that much of the decision-making took place on weekends that gave the platform such a high profile。
The nature of a derivative that was once seen as a gambling instrument has changed when it begins to assume the role of price discovery in the world ' s most important commodity markets。
And that's why Sprecher is outraged by the fact that the 11-person team has an estimated 99% Māori rateThe wealth created has been more than man's size。
Delphi DigitalIt also meansThe permanent contract exchange will be the central hub of the digital value age, as Wall Street was the central hub of the industrial age. And Hyperliquid is now the one that goes the farthest。
The reality of traditional exchangesDifficulty
Faced with the expansion of Hyperliquid, ICE tried to start from trading time. Sprecher revealed that ICE communicated with a number of oil companies and offered to remain open on weekends and to follow the global trading time zone。
The market response was cold, but that result was not surprising。
The strength of Hyperliquid lies not in the extension of trading time, but in the efficiency of the infrastructure package. Order books, stable currency settlement, fully transparent chain records, 24-hour uninterrupted operation, plus extremely low marginal costs - This is a structural gap that traditional exchanges cannot replicate by adjusting their operating hours。
The situation of institutional clients deserves more attention. It's not like it's a good ideaMOST ICE CORPORATE CLIENTS DO NOT CURRENTLY DEAL IN CHAINS AND INTERNAL COMPLIANCE RESTRICTIONS PREVENT THEM FROM PARTICIPATING AT THE INSTITUTIONAL LEVELI don't know. But at the same timeThese institutions are watching closely, paying particular attention to the price discovery dynamics of HyperliquidI don't know. Prior to the opening of traditional markets, a growing number of traders had begun to move prices along the reference chain。
THIS MEANS THAT ICE ' S INSTITUTIONAL CLIENTS ARE IN AN AWKWARD POSITION: THEY CANNOT BE DIRECTLY INVOLVED IN CHAIN TRANSACTIONS AND CANNOT IGNORE THE IMPACT OF CHAIN PRICES ON TRADITIONAL MARKETS。
The regulatory dimension is also fraught with uncertainty。THE CFTC IS NOW FACING A FUNDAMENTAL QUESTION: WHAT IS A CHAIN-LONG CONTRACT。Innovative products that require a new legislative framework or can be subsumed into existing onesYesDodd-Frank Wall Street Reform and Consumer Protection (Dodd-Frank) system swap contracts? Sprecher, frankly, he..Uncertainty whether the regulator has its own answersI don't know。
At the same time, both sides are seeking the initiative for rule-making. Recently, Jeff Yan, co-founder of Hyperliquid, travelled to Washington to meet policymakers to discuss the path of integrating chain derivatives markets into the United States regulatory framework. Hyperliquid Policy Center, for its part, has stressed that the chain-wide transaction record is more transparent than any traditional exchangeI don't know。
Concluding remarks
Sprecher mentioned that if he was younger, heYeahWant to participateHyperliquidThis business. This sentence not only recognizes innovation but also reflects the complex mindset of traditional finance towards new trends。
Traditional exchangesThe market is being approached step by step through investment, cooperation and regulatory lobbying. Hyperliquid uses transparency and efficiency as its leverage to continuously expand its legitimacy space。
I..CEI understand the businessI don't knowAnd..The next step is not whether to go, but how to go。
