Hyperliquid, the decentralized exchange with roughly $6.07 billion in total value locked, has introduced HIP-4, a governance proposal that would allow anyone to create prediction markets on the platform — but only if they're willing to post a 500,000 HYPE bond. At current prices, that's about $30.5 million, and the bond carries slashing risk if the market is deemed invalid.
What HIP-4 proposes
The proposal, called "Permissionless Prediction Markets," would let users launch their own prediction markets without needing approval from Hyperliquid's team. The catch is the hefty bond requirement. Market creators must lock up 500,000 HYPE tokens, which can be slashed if the market is later judged to be invalid or manipulated. The idea is to deter bad actors while still allowing permissionless creation.
Hyperliquid's native token, HYPE, is currently trading at $60.92, down 0.2% in the past 24 hours. The token has fallen 5.4% over the past week, 12% over the past two weeks, and 14.1% over the past month. Despite the recent slide, HYPE is still up 33.4% year-over-year. Its all-time high of $76.87 was reached on June 16, 2024, meaning the token is currently 21.2% below that peak.
Technical picture
HYPE's 14-day relative strength index sits at 42.89, which is in neutral territory — not oversold, not overbought. The token is trading below its 10-day, 20-day, and 50-day exponential moving averages, but remains above the 100-day and 200-day EMAs. That mixed signal suggests short-term bearishness but a longer-term uptrend still intact.
Key resistance is at $62.16, with the next level at $64.55. On the downside, support sits at $60.74, followed by $59.18. The 24-hour trading volume is around $268.29 million.
The HIP-4 proposal is now open for community discussion and voting. If passed, it would mark a significant shift in how prediction markets operate on Hyperliquid, moving from a curated model to a permissionless one — albeit with a high financial barrier. The bond mechanism is designed to ensure only serious market creators participate, but critics may argue it limits the permissionless ethos. The outcome of the vote will determine whether Hyperliquid's prediction market ecosystem opens up or stays restricted.
