Hyperliquid Opens Up Prediction Markets to Institutional Investors

Hyperliquid, a financial derivatives exchange, has launched a new feature that allows users to create their own prediction markets on its platform. This move is expected to attract institutional investors such as hedge funds and quantitative trading groups.

To launch a market, users must stake at least 500,000 HYPE tokens, worth around $30 million at the token's price on July 29. The staked amount is locked as collateral rather than a fee.

Hyperliquid has been building up to this move with its previous launch of outcome markets in May 2026, which required hand approval from validators for listings.

The prediction market feature has the potential to boost trading volumes and increase returns for HYPE holders, who see a strong link between volume processed on the exchange and token buybacks. Since the fund began, daily buybacks have pulled around 4.7% of the coin's maximum supply out of circulation.