Time To Believe The HYPE? After A Month-long Uptrend, What Can Traders Learn From The Most Successful Token Giveaway Of All Time?
Crypto Twitter lights up every week with new token promotions but most spark and fizzle out. That all changed in December when DeFi challenger Hyperliquid pulled off an extraordinary airdrop coup.
To launch the HYPE token for its proprietary DEX, the project took a unique route to market, holding back the lion’s share for early users and avoiding set-asides for VCs, centralized exchanges, or market makers.
A cult-like following, pent-up VC demand, and analyst enthusiasm culminated in the most successful airdrop in history. Valued at close to $7.5 billion at the start of this year, HYPE’s launch was so lucrative that crypto watchers now wonder if the project’s airdrop approach can ever be repeated.
Hyperliquid’s hybrid model
Hyperliquid is a layer one (L1) blockchain designed by Hyper Foundation to host decentralized finance (DeFi) applications. It uses delegated Proof of Stake secured by its own HyperBFT consensus mechanism.
The project claims its network can handle throughput of 100,000 orders per second, recording every trade, order, liquidation, and cancellation with a block latency measured in milliseconds.
A note to investors from Mutual Fund manager VanEck calls Hyperliquid a “hybrid blockchain” with aspects of both layer 1 and layer three networks.
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