Hyperliquid (HYPE) launched a new community-oriented initiative on Sunday, a move that may help improve sentiment as the network deals with volatility within its ecosystem.
The decentralized exchange (DEX) announced the distribution of 4,600 Hypurr NFTs on the HyperEVM, even as its staked governance token, kHYPE, briefly lost its peg before bouncing back.
Hyperliquid Deploys Hypurr NFTs on HyperEVM: What Users Need to Know
The Hypurr NFT collection serves as a token of appreciation for early supporters of Hyperliquid’s development. According to the Hyper Foundation, the NFTs (non-fungible tokens) were distributed automatically, requiring no action from users.
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“Hypurr NFTs have been deployed on the HyperEVM…There are a total of 4,600 NFTs in the collection…To be clear: No action is required. You do not need to mint. The NFT collection has already been distributed,” read an excerpt from the announcement.
Out of the total supply, 4,313 NFTs were allocated to Genesis Event participants, 144 to the Foundation, and 143 to contributors, including Hyperliquid Labs and NFT artists.
Each NFT embodies various facets of community culture. The Foundation stated they capture “moods, hobbies, tastes, and quirks” of the ecosystem.
Reportedly, Jeff Yan, co-founder and CEO of Hyperliquid, created 16 NFTs from the collection that were distributed randomly.
The collection was minted directly on the HyperEVM, a programmability layer initiated in February 2025. It integrates smart contracts with Hyperliquid’s Layer-1 (L1) using HyperBFT consensus.
This framework allows developers to access HyperCore liquidity while building applications such as lending markets, vault tokenization protocols, and liquid staking tokens.
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The NFT launch coincided with Hyperliquid enabling permissionless spot quote assets on the mainnet. Stable asset deployers can now activate quote status under on-chain regulations, enhancing the platform’s flexibility.
Native Markets launched USDH, Hyperliquid’s stablecoin, as the first permissionless quote asset, immediately facilitating HYPE/USDH trading pairs. Additional assets are expected to follow suit.
The introduction of USDH is vital for bolstering Hyperliquid’s competitive stance. BeInCrypto noted that USDH is backed by cash and US Treasuries, aligning with the broader trend of exchanges launching native stablecoins.
In spite of this news, Hyperliquid’s HYPE token has only seen a modest increase of 0.8% in the past 24 hours, trading at $45.61 as of this writing.
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Competitor exchange Aster, backed by YZi Labs, has recently surpassed Hyperliquid in weekly trading volumes, highlighting the urgency for Hyperliquid to expand its product offerings.
HYPE Unlock and kHYPE Peg Strains Highlight Ongoing Stability Risks
According to blockchain investigator ZachXBT, a malicious actor has already stolen some of the Hypurr NFTs airdropped to compromised wallets.
“A threat actor stole 8 X Hypurr NFTs airdropped to compromised wallets on HyperEVM in the past hour, profiting approximately $400,000,” wrote ZachXBT.
Analysts have also highlighted risks associated with an upcoming $12 billion unlock of HYPE tokens, which could negatively impact market sentiment towards Hyperliquid’s governance token.
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Nonetheless, concerns about stability continue. Blockchain security firm PeckShield pointed out that between September 24 and 27, kHYPE (Kinetiq Staked HYPE) dropped from its peg, reaching a low of 0.8802 against WHYPE.
The peg has since stabilized, but this incident revealed vulnerabilities within derivative markets linked to Hyperliquid’s token economy.
The combination of NFT distribution, new stablecoin infrastructure, and on-chain trading innovation indicates that Hyperliquid is striving to reinforce its ecosystem. Yet, it faces heightened pressures from competitors and internal market fluctuations.
While Hypurr NFTs function as a commemorative token for early supporters, the broader narrative revolves around execution risks. Successful implementation of permissionless quotes and stablecoin liquidity may enhance Hyperliquid’s network effects.
Nevertheless, token volatility, as demonstrated by the kHYPE peg instability, remains a significant hurdle for long-term adoption.
Regardless, Hyperliquid seems determined to continue focusing on community appreciation, programmability via HyperEVM, and market infrastructure.
