Hyperliquid reached a new all-time high in monthly perpetual futures trading volume in May, processing over $248 billion in trades. This marks a 51.5% increase from April’s total of $187.5 billion.
Hyperliquid’s fast rise is not only about big numbers; it also means centralized exchanges are losing their grip and challenging their dominance. The protocol’s monthly increase of 51.5% from $187.5 billion in April shows that traders are increasingly interested in decentralized trading platforms that do not slow down.
The difference between this year and last year is even more noticeable. The rise from $26.3 billion in May 2024 to the current record is an incredible 843% increase, which makes Hyperliquid the top player in on-chain perpetual futures.
Notably, Hyperliquid is challenging Binance in areas where it had always been unmatched. The protocol is now responsible for 10.54% of Binance’s monthly perpetual volume, which is a record that exceeds April’s 9.76% mark. This change indicates that traders are beginning to move away from centralized platforms and choose decentralized ones instead.
It is successful because it gives users the same advantages as large exchanges, but without the risks of leaving their funds with others. Both retail and institutional traders are attracted to Hyperliquid because of its successful airdrop and the lucrative Season 2 points campaign.
The reason the protocol has succeeded is that it offers a centralized exchange-like experience but without the risks of trusting a custodian. Both retail and institutional traders are attracted to Hyperliquid because of its successful airdrop and the lucrative Season 2 points campaign.
This achievement is a reflection of the overall market situation. The ratio of DEX-to-CEX futures trading in May was 6.84%, almost reaching February’s highest value of 7.06%. This is a huge change from the 2022 market share of less than 2%, as the current average is 6.7% so far this year.
As stablecoin on-ramps and decentralized infrastructure keep improving, industry experts believe DEXs could gain a significant number of users and take over a big part of the derivatives trading market by the end of the year.
Also Read: ETH Season Heats-up: Weekly ETF Inflows in Ethereum Outshine Bitcoin
