Hyperliquid KYC Feature Sparks Speculation About US Expansion Plans

Hyperliquid, a decentralized exchange (DEX), is reportedly testing a Know Your Customer (KYC) feature with an allowlist. This has sparked speculation that the platform may be planning to create a front-end for U.S. users, dubbed 'Hyperliquid U.S.'

According to analyst Rajiv Patel, Hyperliquid pushed a new feature called Stars, which allows deployers to make a HIP-3 (commodity futures) allowlist for trading. The allowlist can have up to 10K addresses; those not included can only fund their accounts but not trade.

This move has raised questions about the decentralized nature of Hyperliquid, with some analysts comparing it to centralized exchanges (CEX). However, TradeXYZ's CEO Collins Belton downplayed concerns, stating that there is no reason for his company to leave the Hyperliquid ecosystem due to its connected features.