Wall Street wealth creation model is unsustainable for most participants: Hyperliquid CEO
Early Wall Street wealth-creation opportunities remain inaccessible to retail participants, but Hyperliquid’s perpetual contracts aim to democratize access, according to its CEO.
Wall Street’s traditional wealth-creation opportunities, such as company stocks, remain largely inaccessible to the investing public until they list on exchanges, meaning that retail participants miss the most significant pre-listing gains, according to Hyperliquid co-founder and CEO Jeff Yan.
“Some assets are only tradable by a few people for many orders of magnitude of its growth, and then ultimately tradable by the public only after all of the growth has been realized by a select few people with privilege,” said Yan during a Tuesday fireside chat at Token2049 Singapore.
While he saw this dynamic as a byproduct of the broader economy, Yan added that this wealth-creation model is not “sustainable.”
Yan argued that Hyperliquid’s growing revenue is a byproduct of creating more global access to blockchain-based wealth creation opportunities through the decentralized exchange.
Hyperliquid co-founder and CEO Jeff Yan, speaking at Token2049 Singapore. Source: Cointelegraph
Hyperliquid’s main mission is creating more access to wealth creation opportunities and fostering more participation in the financial system, while revenue is only a byproduct, explained Yan, adding:
“We’re not really optimizing for revenue. That’s a byproduct of providing value to users.”
He said that Hyperliquid’s success is partly due to its perpetual futures contracts having no expiry dates, which reduces the number of decisions made by traders and prevents liquidity fragmentation.
Top 5 DeFi protocols by 30-day fees. Source: DefiLlama
Hyperliquid ranks as the third-largest revenue-generating protocol with $72 million generated during the past 30 days, according to DefiLlama.