Hyperliquid Upgrades Risk Management After JELLY Delisting Shock

Hyperliquid moved quickly to address market concerns after delisting JELLY perpetual contracts, which followed a series of suspicious trading movements. The platform’s response included implementing a fully on-chain validator voting system for asset delisting decisions, replacing off-chain coordination to enhance transparency and fairness. As part of this update, validators conducted a test vote to delist MYRO perpetual contracts. Despite a reported 28% decline in HYPE’s price since the incident, early signals indicate that bearish pressure may be easing with HYPE Open Interest showing signs of recovery. However, the changes have been met with mixed reactions. While Hyperliquid defends its actions as necessary for protecting traders and maintaining trust, industry voices such as Bitget’s Gracy Chen have criticized the move, comparing it to past centralized mismanagement issues like the FTX debacle. In addition, a brief mention of Dogecoin highlights ongoing concerns over its downward trend, raising questions about whether whale accumulation might stabilize its price. Overall, the upgrades aim to boost market confidence through enhanced security and decentralized control, even as short-term volatility remains a possibility.