Hyperliquid is no longer just another decentralized exchange (DEX) in the crowded DeFi landscape. With its native token HYPE now being adopted as a strategic reserve asset by traditional public companies like Lion Group Holding and Eyenovia, the protocol has crossed a critical threshold: institutional validation. This shift marks Hyperliquid as a rising candidate for digital asset financial infrastructure — a dual-layer ecosystem that operates both as a foundational trading layer and a platform for application innovation.
At the heart of this evolution are two key mechanisms: Builder Code, which powers revenue generation and ecosystem expansion, and HYPE tokenomics, anchored by a robust protocol-driven buyback model. Together, they form a compelling narrative about how a blockchain protocol can simultaneously dominate both infrastructure and application layers.
Builder Code: The Revenue Engine Behind Open Trading Ecosystems
What exactly is Builder Code?
In simple terms, it’s a mechanism that allows developers to earn fees from trades executed on Hyperliquid through their applications. When users trade via third-party platforms built on Hyperliquid, those platforms can collect a portion of the transaction fee — all governed by transparent, on-chain logic.
As defined in Hyperliquid’s documentation:
“Builder Code enables developers to charge fees on behalf of users’ filled orders. Each order can have a unique Builder Code, offering maximum flexibility. Users set a maximum acceptable fee per developer and can revoke access at any time.”
This means any app — from retail trading interfaces to institutional-grade tools — can integrate Hyperliquid’s liquidity and infrastructure while capturing revenue based on trading volume. The current fee caps are 0.1% for perpetual contracts and 1% for spot trading, giving builders significant monetization potential.
👉 Discover how decentralized platforms are monetizing trading volume with next-gen infrastructure
For context, consider Axiom on Solana — a platform that earns over $1 million daily by charging a 1% interface fee on meme coin trades. While that activity currently happens off Hyperliquid, the same model could soon migrate as more spot assets go live on Hyperliquid and developer adoption grows.
Who’s Leading the Builder Code Movement?
Though still in early stages, Builder Code has already generated nearly $9.5 million in cumulative revenue**. One project dominates the leaderboard: **@pvp_dot_trade**, responsible for approximately **$7.2 million of that total — a clear sign of strong product-market fit.
But diversity is growing. Over 22 new builders are now actively contributing to the ecosystem, funneling more trading volume into Hyperliquid. Among them, @okto_web3 stands out with around $662,000 in earnings so far. While modest today, Okto’s multi-chain reach suggests significant upside.
Even more telling are projects like Liquid and Lootbase, which aren’t targeting crypto natives but instead aim for mainstream users with Robinhood-like experiences. These aren’t just wrappers — they’re user-first applications betting that Hyperliquid’s infrastructure removes the need to build markets from scratch.
This trend challenges the initial assumption that only crypto-native apps would adopt Builder Code. Instead, we’re seeing broader appeal — especially among platforms that want to avoid the cost and complexity of bootstrapping liquidity.
The Future of Trading Interfaces: Why Big Players Might Join
Imagine a world where major fintech platforms don’t need to build their own order books or manage liquidity pools. That’s the promise of Hyperliquid’s architecture.
Take Robinhood, for example. In January 2025 alone, it processed:
- $144.7 billion in stock trades
- 166.6 million options contracts
- $20.4 billion in crypto volume
If Robinhood wanted to expand its crypto offerings — particularly perpetual futures — integrating with Hyperliquid could save millions in development costs and cut time-to-market from years to months.
All it would take is:
- A small allocation of HYPE (e.g., 1 million tokens)
- Integration of Builder Code into its interface
- Access to battle-tested infrastructure optimized for high-performance trading
The result? Robinhood captures interface fees, avoids regulatory and technical overhead, and leverages a decentralized network — all while Hyperliquid handles settlement and liquidity.
This isn’t speculation; it’s an emerging blueprint for how traditional finance can plug into DeFi without reinventing the wheel.
Valuing HYPE: A Conservative $25.9 Billion Estimate
While Builder Code fuels ecosystem growth, the HYPE token serves as the core value accumulator within Hyperliquid’s economy.
To estimate its fair value, we analyze one of the most tangible metrics available: protocol-funded buybacks.
Over the past 30 days (as of June 16, 2025), Hyperliquid repurchased an average of $1.63 million per day** — totaling approximately **$146.4 million per quarter.
Now, let’s compare this to public markets using the market cap to quarterly buyback ratio — a standard valuation multiple:
| Sector | Average Buyback Multiple |
|---|---|
| Tech Giants (e.g., NVIDIA, Google) | 296x |
| Payment Processors (e.g., Visa, Mastercard) | 177x |
| Banking Institutions | 73.3x |
Hyperliquid’s business model most closely resembles payment processors: high-margin, transaction-based revenue with strong network effects. More users → more volume → higher fees → larger buybacks → increased scarcity.
Using the conservative 177x multiple from the payments sector:
$146.4 million × 177 = **$25.9 billion implied valuation**
With a circulating supply of approximately 340 million HYPE tokens, this translates to a **target price of ~$76 per token** — representing a **72% upside** from the article’s publication price of $44.
👉 See how token buybacks are reshaping value accrual in blockchain ecosystems
Why This Valuation Is Actually Conservative
Several factors make this estimate downside-biased:
- Ignores L1 Utility: HYPE is not just a financial instrument — it’s the native asset of a high-performance Layer 1 blockchain with potential use cases in governance, staking rewards, gas fees, and cross-chain interoperability.
- Based on Historical Data: The calculation uses only the last 30 days of buyback activity and doesn’t factor in future growth in market share, new product launches (e.g., HIP-3 for permissionless listing), or increased adoption by institutional players.
- Avoids Tech Multiples: Using tech sector multiples (often exceeding 300x) would yield valuations well above $50 billion — but such optimism lacks comparability.
In essence, this model provides a floor, not a ceiling.
Frequently Asked Questions (FAQ)
Q: What makes Hyperliquid different from other DEXs?
A: Unlike most DEXs focused solely on trading, Hyperliquid functions as both an application and infrastructure layer. Its Builder Code system enables third-party apps to monetize volume while relying on Hyperliquid’s robust backend — creating a true open ecosystem.
Q: How does Builder Code benefit end users?
A: Users gain access to diverse, specialized trading interfaces without sacrificing security or liquidity. They maintain full control over fees and can revoke permissions anytime.
Q: Is HYPE similar to company stock?
A: In some ways, yes. Like shares in Visa or Apple, HYPE benefits from recurring buybacks funded by protocol revenue. However, it also offers utility within a decentralized network — making it a hybrid asset.
Q: Can anyone become a builder on Hyperliquid?
A: Yes — any developer can integrate Builder Code into their app. There are no gatekeepers, aligning with Hyperliquid’s vision of open financial infrastructure.
Q: Are buybacks guaranteed long-term?
A: Buybacks are funded by protocol revenue and governed by community proposals. While not contractual obligations, sustained trading volume ensures ongoing economic incentives to continue repurchases.
👉 Learn how decentralized protocols are redefining ownership and value distribution
Conclusion: A Dual-Layer Architecture With Real Fundamentals
Hyperliquid is building something rare: a protocol that thrives at both the base layer and the application layer. Through Builder Code, it incentivizes innovation and captures value across a growing ecosystem. Through HYPE buybacks, it establishes a clear valuation anchor rooted in real cash flows.
The result? A $25.9 billion valuation that doesn’t rely on hype — but on measurable economic output. As more traditional players explore integration and new use cases emerge, this floor could rise significantly.
In an industry often criticized for speculation over substance, Hyperliquid stands out by delivering tangible utility, sustainable revenue models, and institutional-grade transparency — positioning itself not just as another DeFi project, but as foundational infrastructure for the next generation of digital finance.