Hyperliquid Soars on Trump Comments, But Is It a Screaming Buy?

President Trump's recent comments about Hyperliquid have sent its price soaring by 50% in just 30 days, but should investors be buying in? The CFTC is reportedly working to bring the popular crypto derivatives exchange into the US market, but it's unclear what this means for the coin.

The president mentioned Hyperliquid at a White House crypto summit on August 19, saying that the CFTC chair was working to create a path for the exchange to operate legally in the US. However, there is no public docket or registration application on file for Hyperliquid with regulators.

Hyperliquid currently blocks US users to avoid potential regulatory issues, but if it were allowed to operate in the US, it could be subject to limited or undesirable terms. Despite this, The Motley Fool's Alex Carchidi believes that Hyperliquid is a compelling investment opportunity due to its recent deal with Coinbase Global and Circle Internet Group.

The deal allows Hyperliquid to harvest 90% of the yield from its exchange's holdings of the USDC stablecoin, which will be spent buying back the coin on the open market. This could contribute around $182 million per year to buyback activity, an 18% lift to the protocol's revenue.

Carchidi plans to buy more Hyperliquid to capture upside from its USDC yield, but advises investors to take a measured approach and not get carried away with excitement.