Binance Lists Hyperliquid with High-Risk Tag, Price Drops 4.5% as Whales Sell

Binance listed Hyperliquid (HYPE) on its platform and slapped it with a high-risk Seed Tag, which triggered a 4.5% price drop after large holders moved tokens to exchanges.

The listing was unusual because HYPE is the eleventh-largest cryptocurrency by market capitalization, yet it's still considered a new addition to Binance with higher volatility.

However, the Seed Tag may not be entirely justified as HYPE has already attracted significant investment from U.S. Hyperliquid ETFs and Hyperliquid Strategies, which has purchased an additional 494,200 tokens worth around $45.8 million on September 25.