Top 10 Promising Emerging Hyperliquid Native Protocols to Watch

Q: According to the article, what is Monetrix and how does it compare to Ethena?

Monetrix is a native yield-maximization protocol on Hyperliquid. It is a single stablecoin powered by portfolio margin, integrating funding rates, HLP, maker rebates, and HIP-3 into a single on-chain composite yield. The article describes it as the Hyperliquid version of Ethena.

Q: What is the main function of the ROSETTA protocol on Hyperliquid?

ROSETTA is an automated stablecoin yield router on Hyperliquid. It allows users to deposit USDC, and the system automatically migrates funds each block between protocols like Felix, Hyperlend, Morpho, Aave, and HLP to whichever currently offers the highest yield, while accounting for Gas fees and slippage costs.

Q: How does the alt.fun protocol on Hyperliquid link a token to a perpetual position?

The alt.fun protocol is a Launchpad on Hyperliquid. Each token it launches is paired with a leveraged perpetual position, allowing users to take 2x, 3x, or 5x long or short positions on any Hyperliquid market. The token's price is influenced by both its trading activity and the performance of this underlying perpetual position.

Q: Which protocol on Hyperliquid allows trading of pre-IPO companies like OpenAI and SpaceX, and what is the maximum leverage it supports?

The protocol is called Ventuals. It offers Pre-IPO perpetual contracts on Hyperliquid, built on HIP-3. It allows users to take long or short positions on the valuation of private companies like OpenAI, SpaceX, and Stripe, with support for up to 10x leverage.

Q: What broader evolution does the article suggest is happening with Hyperliquid, based on the listed protocols?

The article suggests that Hyperliquid is evolving beyond just being a perpetual contracts exchange into a complete on-chain financial stack. The listed native protocols are described as the foundational components building real yield, liquidity, and new products on this stack.

marsbitPublished on 2026-05-21Last updated on 2026-05-21

Abstract

Title: A Review of 10 Emerging Native Protocols on Hyperliquid Hyperliquid is evolving beyond perpetual contracts into a comprehensive on-chain financial stack. This article highlights 10 key native protocols driving this growth: 1. **Monetrix**: A yield-optimizing protocol akin to Ethena, aggregating funding rates, HLP rewards, maker rebates, and HIP-3 into a single stablecoin yield. 2. **ROSETTA**: An automated stablecoin yield router, allocating USDC across top protocols (e.g., Felix, Aave, HLP) for optimal returns, factoring in gas and slippage. 3. **papertrade.xyz**: A fair-launched perpetuals protocol offering up to 1000x leverage, no funding rates, no slippage, and fully on-chain, oracle-based execution. 4. **alt.fun**: A launchpad where tokens are paired with leveraged perpetual positions (2x-5x), linking token price to trading activity and underlying position performance. 5. **Ventuals**: Pre-IPO perpetual contracts (built on HIP-3) allowing up to 10x leveraged speculation on valuations of private companies like SpaceX and Stripe. 6. **Liminal**: A delta-neutral yield protocol that captures funding rates via automated short positions and uses generated xTokens (xBTC, etc.) as DeFi collateral. 7. **Melt**: Brings tokenized stocks, commodities, and RWAs to Hyperliquid spot markets, enabling 24/7 trading alongside crypto assets. 8. **Chainsight**: An oracle and data infrastructure protocol providing low-latency (<3s) price feeds, volatility indices, and risk metrics fo...

Author: Stacy Muur

Translation: Jinse Finance

In this article, I will briefly introduce 10 emerging Hyperliquid native protocols that I am paying attention to:

1. Monetrix: A native yield-maximizing protocol on Hyperliquid. It is a portfolio margin-driven single stablecoin that integrates funding rates, HLP, maker rebates, and HIP-3 into a comprehensive on-chain yield. Think of it as the Hyperliquid version of Ethena.

2. ROSETTA: An automated stablecoin yield router on Hyperliquid. Deposit USDC, and the system automatically migrates funds between Felix, Hyperlend, Morpho, Aave, and HLP every block to the protocol with the highest current yield, while factoring in Gas fees and slippage costs.

3. papertrade.xyz: A fair-launched perp protocol on Hyperliquid offering up to 1000x leverage with no funding rates and no slippage. Trading execution is based on price oracles rather than order books, with the entire process completed on-chain.

4. alt.fun: A launchpad on Hyperliquid where each token is paired with a leveraged perp position, allowing 2x, 3x, or 5x long or short exposure in any HL market. The token's price is influenced by both trading activity and the performance of its underlying perpetual position.

5. Ventuals: Pre-IPO perpetual contracts on Hyperliquid. Built on HIP-3, it allows users to take long or short positions on the valuation of non-listed companies like OpenAI, SpaceX, and Stripe, with up to 10x leverage.

6. Liminal: A delta-neutral yield protocol on Hyperliquid. Deposit stablecoins, capture funding rates via automated short positions, and reuse the generated xTokens (xBTC, xETH, xHYPE) as collateral within the DeFi ecosystem.

7. Melt: Brings tokenized stocks, commodities, and equities into Hyperliquid spot markets. You can trade Real World Assets (RWA) on the same order book as BTC, 24/7, using your own wallet.

8. Chainsight: An oracle and data infrastructure protocol on Hyperliquid. It builds modular data flow pipelines to provide price feeds, volatility indices, and risk metrics with sub-3-second latency, powering new derivative types on HL.

9. rip.xyz: Tokenized vault strategies on HyperEVM. Its flagship product, rHYPURR, gives you liquidity and fractionalized exposure to a Hypurr NFT managed basket backed by WHYPE and priced at Net Asset Value (NAV) hourly, via ERC-4626 share tokens.

10. Markets: A Hyperliquid perpetual exchange built by the Kinetiq team. Trade perpetual contracts for stocks, forex, commodities, bonds, and crypto 24/7 with up to 50x leverage. All trades use USDH as margin and are priced by Kaiko's institutional-grade oracles.

Summary: Hyperliquid is evolving beyond perpetuals into a full-stack on-chain financial infrastructure. The protocols listed above are the native building blocks constructing real yield, liquidity, and innovative new products.

STAR 50 Soars 10.73%, Why Did A-Shares Stage a "V-Shaped Reversal"?

After a prolonged decline, the Chinese A-share market staged a strong rally on July 21. The STAR 50 index surged 10.73%, its largest single-day gain in nearly a year, leading a broad-based "V-shaped" reversal. The Shanghai Composite Index rose 1.79%, the Shenzhen Component Index gained 4.81%, and the ChiNext Index jumped 7.05%. Total market turnover reached 2.97 trillion yuan, an increase of 256.1 billion yuan from the previous session, with over 3,100 stocks advancing. The semiconductor sector spearheaded the rebound, with related ETFs posting significant gains. Analysts attribute the surge to three converging factors. First, coordinated capital inflows from "national team" institutions, insurance funds, listed company buybacks, and fund house self-purchases have bolstered market liquidity and confidence. Second, supportive policy signals, including commitments from regulators to ensure stable market operations, provided a favorable backdrop. Third, a stabilization and recovery in overseas markets, notably South Korea, created a positive external environment. Institutions suggest the most severe panic selling phase for the tech sector has likely passed, following a significant digestion of crowded positions and leveraged funds. While short-term volatility may persist, the medium to long-term outlook remains underpinned by enduring trends like AI computing demand expansion and semiconductor localization. The market's focus now shifts to the sustainability of supportive fund flows, earnings reports, and upcoming catalysts from the global AI industry chain.

marsbit26m ago

STAR 50 Soars 10.73%, Why Did A-Shares Stage a "V-Shaped Reversal"?

marsbit26m ago

U.S. Tech Momentum Stocks Post Largest Single-Day Gain Ever, But Is the Plunge Over?

US tech momentum stocks staged a sharp rebound on Tuesday (July 21st). Morgan Stanley's TMT Momentum Factor surged over 12%, marking its largest single-day gain on record, exceeding even peaks from the 2000 dot-com bubble. Key momentum indices from Goldman Sachs also posted their strongest daily performances in years. The rally was led by semiconductors, with the Philadelphia Semiconductor Index jumping 4.6%. This rebound followed three consecutive down days and a cumulative 33% plunge in momentum stocks, one of the steepest drawdowns since the dot-com era. Analysts attribute the surge largely to a short squeeze. Heavy selling had pushed high-beta momentum stocks into deeply oversold territory, forcing many short sellers, particularly in Asia, to cover their positions, creating a self-reinforcing buying spiral. However, the rebound's internals appear weak. Trading volume was notably low, and advancing stocks still lagged decliners on the S&P 500, indicating a narrow, concentrated rally rather than broad market participation. Diverging views emerge on the outlook. BTIG warns the bounce has hit key resistance and recommends selling into strength, citing extreme volatility and historical parallels to past market tops. Conversely, Goldman Sachs and UBS believe the momentum unwind is nearing its end, suggesting it may be time to gradually add exposure, as positioning has been significantly reduced. They caution, however, that high volatility warrants a measured approach, potentially using defined-risk strategies. The upcoming earnings season, particularly reports from major tech firms like Alphabet, is seen as a critical test for the rally's sustainability. Simultaneously, bond markets flashed a warning, with yields rising partly due to spiking oil prices. Analysts note that if long-term Treasury yields break decisively higher, it could pose a significant headwind for equities, especially growth stocks.

marsbit33m ago

U.S. Tech Momentum Stocks Post Largest Single-Day Gain Ever, But Is the Plunge Over?

marsbit33m ago

U.S. Tech Momentum Stocks Record Largest Single-Day Gain Ever, but Has the Rout Ended?

U.S. tech momentum stocks staged a dramatic rebound on Tuesday, July 21st. Key momentum indices like the Morgan Stanley TMT Momentum Factor and Goldman Sachs' High Beta Momentum Long Index posted historic or near-historic single-day gains, fueled largely by semiconductor stocks. This sharp rally followed a severe three-day sell-off that saw momentum stocks plunge 33%, marking one of the steepest pullbacks since the dot-com bubble. Analysts attribute the bounce primarily to a short squeeze, as forced covering from over-leveraged traders, particularly in Asia, created a buying spiral. However, the rally's health is questioned due to weak market breadth—overall trading volume was low, and decliners outnumbered advancers in the S&P 500 despite the index's gain—suggesting a narrow, concentrated surge rather than broad recovery. Opinions on the sustainability diverge. BTIG strategists warn the rebound has hit key resistance levels, citing extreme volatility and historic stock dispersion as signs of an ongoing broader correction, and recommend selling into strength. Conversely, Goldman Sachs and UBS view the aggressive momentum unwinding as nearing its end, noting reduced positioning and a lack of new fundamental catalysts. They suggest the sell-off presents a selective opportunity to add exposure, albeit cautiously and gradually using defined-risk strategies. The immediate trajectory hinges on the ongoing earnings season, with market focus on Alphabet's capital expenditure guidance for AI investment clarity. Meanwhile, bond markets present a risk, with rising Treasury yields—potentially heading toward 5.5%—and widening credit spreads for mega-cap tech companies posing a threat to equity valuations. The combination of technical factors, earnings results, and macro conditions leaves the durability of the rebound in doubt.

链捕手35m ago

U.S. Tech Momentum Stocks Record Largest Single-Day Gain Ever, but Has the Rout Ended?

链捕手35m ago

Bitcoin flashes 3 macro-bottom signals – But can BTC reach $70K?

The article discusses Bitcoin's recent price movement above $66,000 and a shift in market analysis from focusing on a local bottom to a potential macro-cycle bottom. It cites a crypto analyst noting that BTC has flashed three historical technical signals that previously coincided with major market bottoms in 2015, 2019, and 2022, suggesting the current zone could be a strong long-term accumulation area. However, the article also highlights a significant challenge: despite the price breakout, on-chain data shows a lack of supporting liquidity. Stablecoin dominance is rising while the total stablecoin market cap is shrinking, with capital continuing to leave exchanges. This divergence indicates that while the technical setup is bullish, the rally may struggle to sustain enough momentum for a decisive move into the $70,000 region without an influx of fresh capital.

ambcrypto38m ago

Bitcoin flashes 3 macro-bottom signals – But can BTC reach $70K?

ambcrypto38m ago

Long-Divided Must Unite, Long-United Must Divide: When L1 Becomes Its Own Rollup, What Is Ethereum's Endgame?

"The Inevitable Cycle: When L1 Becomes Its Own Rollup – What is Ethereum's Endgame?" For years, the Ethereum community grappled with concerns that L2s were fragmenting the ecosystem and eroding L1's value. While L2s provided cheaper execution, they also splintered liquidity and the unified user experience of a single chain. This has prompted a fundamental reassessment of the relationship between L1 and L2. Ethereum's roadmap is evolving. The "Scale" initiative merges L1 and L2 expansion into a holistic framework. L1 itself is advancing with higher gas limits, statelessness, and zkEVM verification, no longer content to be just a low-throughput settlement layer. Consequently, the primary value proposition of L2s is shifting from merely providing cheap blockspace to offering L1 cannot easily provide: application-specific optimizations, privacy features, and flexible governance models. L2s are becoming a spectrum of execution environments with varying degrees of security inheritance from Ethereum. A critical challenge in this multi-chain future is interoperability. The vision is to make Ethereum "feel like one chain again." This relies on advancements in native account abstraction (like EIP-7702) and intent-based architectures (Open Intents Framework), where users declare desired outcomes, and solvers handle the complex cross-chain execution. Furthermore, shortening Ethereum's finality time from minutes to seconds is crucial, as it underpins trust between chains for bridges, stablecoins, and cross-chain applications. Perhaps the most provocative idea is that Ethereum L1 itself could become a form of "its own Rollup." As zkEVM and proof systems mature, high-performance nodes could execute transactions and generate validity proofs. Regular validators would then verify these proofs instead of re-executing all transactions. This blurs the traditional L1/L2 hierarchy, making "Rollup" more of a general execution-verification architecture. Native Rollup aims to integrate L2 validation more directly into the Ethereum protocol, allowing L2s to inherit L1's security more fully and move away from reliance on security councils. In the end, L2s are not destined to replace L1 or be made obsolete by it. The likely future is a unified system where diverse execution environments—each optimized for specific use cases like DeFi, gaming, or privacy—coexist. They will share a common foundation of security, liquidity, and verifiable state, seamlessly connected to restore a cohesive user experience. The next phase for Ethereum is not just about scaling through separation, but about intelligently reintegrating what was separated back into a coherent whole.

链捕手52m ago

Long-Divided Must Unite, Long-United Must Divide: When L1 Becomes Its Own Rollup, What Is Ethereum's Endgame?

链捕手52m ago

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