Fortune Praises Hyperliquid as a Major Competitive Threat to Coinbase and Others
Fortune published an article titled "A New Crypto Giant is Rising" praising Hyperliquid. At the Jackson Hole SALT conference, Hyperliquid became the focus of discussion.
Since its launch in 2023, Hyperliquid has operated offshore, but its team is accelerating efforts to establish a regulated business in the U.S. Unlike most offshore companies that have struggled in the U.S. market, Hyperliquid has multiple advantages: CEO Jeff Yan is U.S.-born and reportedly has the support of influential figures such as Trump and the CFTC chairman for perpetual contracts. The company’s team also includes Schamis, who has decades of credibility in traditional finance, and well-known crypto lawyer Jake Chervinsky, who is dedicated to establishing a legal framework for DeFi in the U.S.
Fortune predicts that Hyperliquid could suddenly become a significant competitive threat to crypto giants like Coinbase, Kraken, and Robinhood, similar to how Binance emerged in 2017.
In terms of market mechanics, event-driven narratives strengthen the case for perpetual contracts and DeFi infrastructure. Funds and attention are flowing towards the Hyperliquid ecosystem and related tokens, benefiting the platform and early participants, while traditional centralized exchanges face pressure on their derivatives market share. Expectations for U.S. regulatory access may accelerate its transition from offshore to compliant operations.
Source: Public Information
ABAB AI Insight
Hyperliquid started with high-performance on-chain order book perpetual contracts, quickly capturing a significant share of trading volume. Fortune compares it to Binance in 2017, focusing on the potential for growth offshore followed by a shift to legitimacy through U.S. regulation. Jeff Yan's U.S. identity and the traditional finance and legal team configuration reduce common barriers for offshore projects entering the U.S.
In terms of capital pathways, it attracts commodity and crypto traders through perpetual contracts and then advances U.S. establishment with a regulation-friendly team. This is similar to how Binance initially disrupted existing patterns with product speed and liquidity. It is currently in a phase of "offshore scale + U.S. compliance window" overlap.
Compared to other exchanges attempting to transition from offshore to the U.S. market, the key to success lies in regulatory relationships and product differentiation.
Essentially, it represents a technological substitution and industrial chain reconstruction. The mechanism is that on-chain perpetual contracts challenge centralized derivatives with lower costs and 24/7 accessibility, and once a U.S. compliance channel is obtained, it can directly compete for institutional and retail market share.
ABAB News · Law of Cognition
- Offshore first scales up, and once the compliance window opens, it can rewrite the landscape.
- A U.S.-born CEO can sometimes open regulatory doors more than the product itself.
- True competitive threats often come from new players suddenly taken seriously by mainstream media.