Hyperliquid's North Korean Money Laundering Scandal Complicates US Onshoring Plans
North Korean hackers have laundered over $30 million worth of Bitcoin through Hyperliquid, an offshore derivatives exchange, in the last three weeks, according to blockchain analysis by Arkham.
The development comes at a delicate time as President Donald Trump and the Commodity Futures Trading Commission (CFTC) attempt to bring Hyperliquid within the boundaries of the United States.
Hyperliquid is currently discussing a U.S. strategy with Payward, the parent company of Kraken, which would allow American registered traders to make trades using specific Hyperliquid-related perpetual futures via Bitnomial, the CFTC-regulated clearinghouse operated by Payward.
The move has raised questions about whether it's possible for a decentralized venue like Hyperliquid to fall under American regulation without incurring sanctions and unlawful financial risk avoidance.