Hyperliquid, a leading decentralized derivatives exchange, has unveiled a community-driven proposal, HIP-6, designed to revolutionize token launches on its platform. The proposal introduces a Continuous Clearing Auction (CCA) mechanism, enabling projects to raise funds, discover fair token prices, and automatically seed liquidity entirely on-chain.
The HIP-6 system allows teams to launch tokens natively on Hyperliquid after completing standard deployment steps (HIP-1). Projects define parameters such as token supply, auction duration (approximately one week), minimum fundraising target, and the percentage of proceeds to be used for liquidity seeding. During the auction, token transfers are frozen to prevent insider selling.
Bidders participate by submitting a total budget and a maximum price they are willing to pay per token. The protocol then spreads each bid evenly across the remaining blocks in the auction period. Each block releases a fixed tranche of tokens, with a uniform clearing price calculated per block. This design aims to eliminate timing games and price manipulation common in traditional fixed-price or uncapped sales.
A key feature is the integration with Hyperliquid's existing infrastructure. The auction runs within HyperCore's block logic, with bidder capital held in on-chain escrow until settlement, removing counterparty risk. The system mandates that 20% to 100% of net proceeds are automatically seeded into HIP-2 liquidity pools (Hyperliquidity). Furthermore, a 5% protocol fee on the total amount raised is directed to the Hyperliquid Assistance Fund to support ecosystem growth.
According to an analysis by James Evans of Reciprocal Ventures, HIP-6 adapts the CCA concept from Uniswap for Hyperliquid's central limit order book (CLOB) architecture. The proposal positions Hyperliquid, which already processes about a third of the crypto perpetual futures volume, to expand beyond pure trading into the on-chain fundraising space, potentially attracting projects from ecosystems like Solana and Base.
