Robinhood Engineers Charged Over Alleged Hyperliquid Trading Scheme

Two former Robinhood engineers have been charged by the US Department of Justice (DOJ) for allegedly using confidential information to trade Hyperliquid perpetuals.

Hefu Chai, 36, and Huaisong Xiang, 30, are accused of misusing their access to nonpublic listing data to buy contracts before Robinhood Crypto announced support for specific tokens.

According to the complaint, both men made more than $50,000 from these trades between 2025 and 2026. The case highlights concerns over insider trading controls in the crypto market.

The DOJ alleges that Chai and Xiang used their engineering roles at Robinhood to gain access to confidential information about upcoming token listings. This allowed them to profit from the trades before public listing announcements.