Hyperliquid's US Push Hit by Sanctions Fears Over North Korea Ties

Hyperliquid's US entry plans may be at risk due to allegations of North Korean involvement. The cryptocurrency exchange has been tied to wallets linked to the Lazarus Group, which moved over $30 million in Bitcoin through Hyperliquid over three weeks.

The activity raises sanctions questions as the exchange pursues a foothold in the US market. Emmett Gallic, an analyst at blockchain intelligence firm Arkham, identified the wallets and cited a 2024 attribution by investigator ZachXBT.

President Trump mentioned Hyperliquid directly at an August White House event, crediting CFTC Chairman Michael Selig with leading the effort to bring the exchange into the US in a 'fully compliant and legal fashion.' The CFTC has already cleared a Bitcoin perpetual product on a registered exchange this year, setting a precedent for how regulators may treat Hyperliquid's application.

The US Treasury's Office of Foreign Assets Control (OFAC) sanctioned the Lazarus Group in 2019. It has been tied to billions of dollars in stolen crypto, including the 2022 Ronin Network breach and the $1.5 billion Bybit hack in 2025.