Is it possible Hyperliquid ($HYPE) to scam

[Ayers]

it's just a matter of time until they are forced to implement KYC/AML. Absolutely inevitable.

this is the biggest long term risk for Hyperliquid right now. there are only 24 validator and most of whom are based in Japan. i would rather call it a federated network of big company, not a truly decentralized network, lol

but i have to admit that Hyperliquid is proving that they can provide a great user experience and huge trading volume. i have to applaud that. but i can not say how long it will last. they should gradually increase the number of validator. and spread it all over the world. along with this what they need is to build the capability to handle regulatory pressure. this will create the capacity to not harm their core product and grow fast

[Conqueror777]

HYPE is the coin of one of the most popular decentralized exchange for perpetual futures contracts.

However, users on many platforms where cryptocurrencies are discussed raise the question: is the exchange truly decentralized? Unlike Ethereum - which boasts over 800,000 validators - Hyperliquid network has no more than 24 ones, and the majority of them are located in Japanese data centers.

Therefore, I have a question: will the Hyperliquid continue to exist, or will it fade into oblivion?

I believe it will fade into oblivion but that's my personal opinion and I'm not a financial advisor.

[Taskford]

HYPE is the coin of one of the most popular decentralized exchange for perpetual futures contracts.

However, users on many platforms where cryptocurrencies are discussed raise the question: is the exchange truly decentralized? Unlike Ethereum - which boasts over 800,000 validators - Hyperliquid network has no more than 24 ones, and the majority of them are located in Japanese data centers.

Therefore, I have a question: will the Hyperliquid continue to exist, or will it fade into oblivion?

I believe it will fade into oblivion but that's my personal opinion and I'm not a financial advisor.

Better think that way since we are not sure if it will stay for long time the same as Bitcoin. Many with those supposed to be a good coin got dump for whatever reason then it struggle to raise up because they face heavy controversy and people lose their trust on those coins.

So with those risk better deal with it in right way and better sold it once they already have chance to secure their capital including their profit. Maybe for now its good, but we don't know if it will continue to stand if it face heavy issues.

[MArsland]

Therefore, I have a question: will the Hyperliquid continue to exist, or will it fade into oblivion?

The platform may continue to exist, but pressure from regulators may lead to some issues such as fines, jail sentences, etc. We have seen this kind of thing happen before. I remember Etherdelta ending up facing some legal issues and a couple more "decentralised" exchanges that even started blocking users from other regions on the front end.

I agree with you, because so far Hyperliquid is a platform that continues to be under pressure from regulators. Not surprisingly the emergence of the Hyperliquid Platform at that time became the main destination for many traders who wanted to avoid regulation. Hyperliquid officials also had a dispute with several crypto exchanges because they became the most promising competitors. But in today's crypto exchange industry, being against regulation is often perceived as a threat.

[Ahli38]

HYPE is the coin of one of the most popular decentralized exchange for perpetual futures contracts.

However, users on many platforms where cryptocurrencies are discussed raise the question: is the exchange truly decentralized? Unlike Ethereum - which boasts over 800,000 validators - Hyperliquid network has no more than 24 ones, and the majority of them are located in Japanese data centers.

Therefore, I have a question: will the Hyperliquid continue to exist, or will it fade into oblivion?

Anything is possible. And HYPE will continue to exist if they can maintain the security of their network. But the small number of validators capable of ensuring the security of their blockchain might make their network more vulnerable to attacks. On the other hand BNB also has a small number of validators. And so far they seem quite adept at maintaining their network security with just those few validators. I personally think that HYPE might be able to last as long as BNB, where it has been running for several years now. And it might also perform just as well as BNB. But once again anything is possible in the future.

[bitgolden]

And HYPE will continue to exist if they can maintain the security of their network. But the small number of validators capable of ensuring the security of their blockchain might make their network more vulnerable to attacks. On the other hand BNB also has a small number of validators. And so far they seem quite adept at maintaining their network security with just those few validators. I personally think that HYPE might be able to last as long as BNB, where it has been running for several years now. And it might also perform just as well as BNB. But once again anything is possible in the future.

There are hardcore fans of hype here so be careful when you say that it's a possibility that it could be a scam, they will attack you mercilessly.

I once said that we should not promote something so blindly because we never know the people behind it and their ulterior motives if they have any, and there were nearly a dozen messages telling me that I am a spammer, I am a signature chaser, I am a troll and many more names. When in reality, all I wanted to say was that it's a possibility.

[shinratensei_]

HyperLiquid is not fully decentralized. At least it's better than centralized exchanges where you still have to KYC to get fucked in the ass by either their MMs or how they designed their system so retail always loses. HyperLiquid is level playin field. On the subject of HyperLiquid only having 24 validators, the team initially wanted a small number of Validators so they can coordinate fast and scale decisions faster. In DAOs, reaching consensus over decisions and votings take a long time because of too many entities being needed to pass the high threshold. Imo, HyperLiquid will open the doors to more validators in the near future.

There are hundreds of blockchains run by foundations and its cronies and they never got attacked for the same centralization, although it's an undeniable truth that hyperliquid is still so lacking in term of decentralization, something that every defi should have. At least foundation has stated that there will be expansion. I hope it won't be hand-picked by the foundation.

[sergiorus]

CME AND NYSE ARE PUSHING THE US TO REGULATE HYPERLIQUID, DUE TO CONCERNS ABOUT MARKET MANIPULATION AND SANCTIONS EVASION: BBG
Source

As I said, just a matter of time. Plarforms like that cannot evade KYC/AML for too long.