.png){kind=logo}
Hyperliquid is set to activate HIP-3, a major protocol upgrade designed to enable the creation of permissionless perpetual futures markets. According to an official announcement in the project’s Discord channel, the October 13 network upgrade includes the activation of HIP-3.
A Hyperliquid administrator confirmed that “HIP-3 will be enabled during this network upgrade. There is no immediate change for users. Deployers meeting on-chain requirements will be able to deploy perps for trading once ready.”
The project’s document described HIP-3 (Hyperliquid Improvement Proposal 3) as “a key milestone toward fully decentralizing the perp listing process.” The upgrade supports builder-deployed perpetuals, enabling community members to launch and manage new derivative markets without central oversight.
Under HIP-3, any participant staking HYPE tokens can create and manage a perpetual DEX with full trading autonomy. They can configure order books, determine leverage limits, define oracles, and set their own fee structures.
To earn deployment rights, participants compete in recurring 31-hour Dutch auctions, paying in HYPE tokens. Successful deployers can retain up to 50 percent of base trading fees, plus extra charges they choose to include, provided they maintain network standards.
Deployers must also stake a security bond, which can be slashed if validators detect negligent or malicious behavior. Validators retain governance power through on-chain voting, ensuring accountability within the system.
HIP-3 operates within Hyperliquid’s two-layer structure, combining HyperCore and HyperEVM for improved composability and on-chain management. HyperCore serves as the high-performance trading engine for spot and perpetual markets, while HyperEVM offers an EVM-compatible environment for smart contract execution.
The upgrade includes CoreWriter, a new tool enabling smart contracts to perform actions on HyperCore directly. Contracts can now submit orders, transfer assets, and manage staking activities - capabilities that were previously limited to viewing data only.
To reduce front-running and latency manipulation, CoreWriter introduces a minimal execution delay that users do not perceive. This design enhances security while maintaining fair and efficient transactions across markets.
HIP-3 also features validator slashing mechanisms and open interest caps to maintain balance in rapidly expanding markets. Deployers must uphold oracle integrity and optimize risk parameters, reflecting a shift toward builder responsibility and community accountability.
The launch follows Hyperliquid’s recent stress test, during which it processed approximately $10 billion in liquidations over a volatile trading weekend. The event highlighted the need for infrastructure that can adapt under pressure through distributed operators rather than centralized control.
With HIP-3 now live, deployers meeting the 500,000 HYPE staking requirement can immediately launch perpetual DEXs on HyperCore. The system encourages innovation while protecting network integrity through collective governance.
By combining smart contract flexibility with order book performance, Hyperliquid is building a next-generation decentralized trading layer. As more deployers participate, one question remains: Can permissionless market creation reshape the future of decentralized trading?
Hyperliquid’s HIP-3 upgrade introduces a new phase for decentralized trading by allowing anyone to launch perpetual DEX markets using HYPE token staking. The integration of HyperEVM and CoreWriter enhances smart contract control, while validator oversight ensures market integrity.
