L1 network HyperLiquid has activated staking on its mainnet with an initial token lockup of $8.4 billion and 16 validators.
On-chain perpetual exchange heavyweight HyperLiquid revealed native staking for its (HYPE) token on December 30, allowing holders to generate rewards for participating in the blockchain.
The protocol, known for its decentralized derivatives trading platform, reports $2.64 billion in 24-hour trading volume and generates more than $1 million in fees daily, according to DeFiLlama.
Within the first hour of deploying the stake, users deposited approximately 7 million HYPE tokens across 16 validators. Staking involves locking cryptocurrencies to secure decentralized networks, with stakers earning rewards for their contributions.
HyperLiquid confirmed that a total of 300 million tokens, worth $8.4 billion, had been staked at the launch of the feature on its layer-1 blockchain. The Hyper Foundation, a non-profit organization dedicated to the HYPE ecosystem, clarified the procedure for acquired tokens and stated:
Users can stake HYPE with a trusted validator and earn wagering rewards in HYPE. Users can consider several metrics when choosing which validators to bet on, such as uptime, commission, reputation, and community contributions.
Hyper Foundation
HYPE, which debuted last month, has seen significant growth, from $3.57 to $27.44 at the time of writing. Its market cap of $9.2 billion surpasses established DeFi projects such as Uniswap (UNI) and Litecoin (LTC).
