Hyperliquid responds to criticism: On-chain transparency sets a new benchmark for DeFi perpetual contracts

Recently, a series of questions surrounding Hyperliquid have attracted industry attention. On December 22, the platform issued a statement to clarify comprehensively and took this opportunity to highlight its differentiated advantages within the industry.

Misunderstanding of Technology Behind the Questions

Critics previously claimed that Hyperliquid had a funding gap of $362 million, but this accusation contains obvious flaws. Hyperliquid’s official statement pointed out that critics such as Sierra Kile overlooked the actual existence of HyperEVM USDC and drew incorrect conclusions based on incomplete information. This also reflects a common phenomenon: external observers often misjudge complex systems when lacking a complete technical understanding.

Clarification of the Three Main Design Principles

Clear Separation Between Testnet and Mainnet

Hyperliquid emphasizes that testnet functions essentially operate only in isolated environments and cannot affect the mainnet. This is a fundamental architectural principle of all rigorous blockchain projects, not a platform vulnerability.

Transparent Permission Architecture

The platform insists that there are no privileged users or fee exemption mechanisms; all participants are completely equal under the system rules. This design avoids the common conflicts of interest found in centralized platforms.

True Positioning of the CoreWriter Function

This tool is widely misunderstood. Hyperliquid clarifies that the CoreWriter function cannot arbitrarily mint tokens or move user funds, and its scope of operation is strictly limited.

Transparency Gaps in the Perpetual Contract Market

Among existing mainstream perpetual contract platforms, Hyperliquid is the only platform that achieves complete on-chain transparency of state and transactions. This means: any user can run a node for independent verification; every order, transaction, and liquidation process is verifiable in real-time; the platform cannot hide any on-chain activity.

In contrast, the states of other major trading platforms often contain information black boxes, forcing users to rely on the platform’s self-disclosure. Hyperliquid’s design fundamentally eliminates information asymmetry.

Fully Traceable and Fully Solvent

“Every dollar is traceable and verifiable” is not just a slogan but a core feature of the platform architecture. Built on on-chain transparency, the fully solvent state means the platform has nowhere to hide—any risk or anomaly will be immediately exposed to the public eye.

This design philosophy is rewriting the trust model of perpetual contract platforms, shifting from reliance on brand reputation to verifiable on-chain facts.