Hyperliquid founder: We want to break into Wall Street, but regulation should target financial institutions rather than the blockchain itself

Odaily News: Hyperliquid Labs co-founder Jeff Yan said on Bloomberg's "Odd Lots" podcast that Hyperliquid is not yet open to U.S. customers. Hyperliquid would rather become the underlying trading technology used by traditional financial institutions than replace existing financial market participants, positioning itself by analogy with Amazon Web Services (AWS) providing computing infrastructure for enterprises. He said: "We are not trying to replace anything. In fact, I think this technology can benefit institutions that currently operate markets in a more traditional way."

Jeff Yan believes that regulatory obligations should fall on the financial institutions operating markets based on the Hyperliquid blockchain, rather than on the blockchain network itself. This regulatory arrangement would allow Hyperliquid to further expand into Wall Street while avoiding bearing the full compliance burden of a traditional exchange. The blockchain is better suited to serve as underlying infrastructure providing order books, clearing, global distribution, and liquidity aggregation. U.S. regulators are relatively cautious about new technologies, but are also willing to move innovation forward quickly; as for Hyperliquid becoming "the home of all financial assets" in the future, his team is "very serious" about it.