Crypto deposits on Hyperliquid’s blockchain, which is just three months old, are surging dramatically, primarily fueled by an influx of decentralised finance (DeFi) protocols and participants. On Friday, Hyperliquid’s token reached an all-time high of $37, pushing the total value of crypto deposited on the blockchain to record levels. Since its launch in February, the Ethereum-compatible Hyperliquid blockchain has amassed over $1. 3 billion in total deposits. This compatibility facilitates seamless integration with Ethereum-based protocols and smart contracts. While initially recognized for its onchain perpetual futures exchange named Hyperliquid, the platform is now gaining significant traction in the DeFi space, attracting speculators and developers eager to capitalize on the trend. In the past week alone, crypto deposits on Hyperliquid increased by more than 25%, driven mainly by DeFi users seeking exposure to this rapidly expanding blockchain. This surge extended across various DeFi protocols on the blockchain, generating new record metrics. Morpho, a lending protocol operating on 18 different blockchains, experienced the most substantial weekly growth on Hyperliquid, with its total value locked (TVL) soaring 400% to exceed $90 million. Morpho debuted on Hyperliquid in April. Similarly, Upshift, an institutional yield platform available on five chains, also launched on Hyperliquid in April, and saw its deposited crypto value rise by over 200% to $43 million in May alone. These developments underscore the significance of Ethereum-compatibility, enabling established projects to easily expand onto Hyperliquid.

The successes of Morpho and Upshift may encourage other protocols to extend their on-chain services here. In addition, protocols unique to Hyperliquid are also experiencing significant inflows. Valantis, a decentralised exchange and liquid staking protocol, nearly doubled its crypto deposits in just one day, jumping from $23 million on Thursday to over $43 million on Friday. Over the past month, Valantis’s deposits have grown by more than 1, 100%. Lending protocols, in particular, have drawn strong interest from Hyperliquid users. Beyond the decentralised exchange, HyperLend ranks as the largest protocol with over $280 million in deposits, marking a monthly increase close to 300%. As Hyperliquid continues to attract developers and DeFi participants, it is evolving from a mere onchain perpetual futures exchange into a fully developed blockchain ecosystem boasting a vibrant DeFi community and infrastructure.