【Growth Strategy|@HyperliquidX How to become the strongest DEX on the chain? 】 Over the past year, Hyperliquid has risen at an almost overwhelming rate, quickly dominating the on-chain derivatives market, and becoming the most topical and controversial DEX in the world. You may have experienced its highly leveraged trading, used its KYC-free platform, and witnessed the frenzy of public opinion caused by James Wynn's $500 million on-chain position. But what really makes Hyperliquid the "strongest DEX" on the chain is not one or two single-point breakthroughs, but it is rolled to the extreme in multiple dimensions. 1️⃣ The "extreme" style of play in four dimensions (1) Extremely low threshold Hyperliquid replicates the user experience of CEXs, but requires no KYC at all. Up to 50x leverage; Smooth UI / Quick Matching; Out-of-the-box, no authentication; For users, this is a DEX that is infinitely close to a CEX, with almost zero threshold. (2) Extreme deflationary model It has no VC, no private placement, but returns nearly 100% of the platform's revenue to the community, truly building a closed-loop deflationary model. 46% fee reward to HLP; 54% went into the Assistance Fund to buy back and burn $HYPE; This is an extremely rare "pure organic growth" model, which returns almost all of the platform's revenue to users, directly driving the $HYPE spiral. The result was that the day before yesterday $HYPE broke through an all-time high of $45. (3) The largest airdrop in history In November 2024, Hyperliquid airdropped 31% of the total amount of $HYPE worth more than $1.2 billion to early adopters, activating transactions and fission growth. $HYPE After the airdrop, it rose from the initial $3.9 to $34.96, and this "wealth effect" visible to the naked eye attracted countless eyes at once. (4) The strongest attention economy One of the great features of Hyperliquid is: Transaction = Content. The positions on the chain are all open, and the whale transaction has become the source of traffic: James Wynn's $568 million BTC long order attracted countless FOMO followers; Andrew Tate's 76 highly leveraged trades that sparked social media conversations; Positions → emotions → liquidity, this set of attention economic flywheels, is unparalleled on the chain. 2️⃣ Behind the extreme, there is also a price When everything is pushed to the extreme, so does the cost. Behind Hyperliquid's "high-performance narrative", some structural risks are beginning to be exposed: Whale Arbitrage Event: High Leverage + Unrestricted Positions, Causing HLP Vault to Lose Millions of Dollars in 24 Hours Governance intervention in the market: Adjusting the price of the oracle through community governance to force liquidation, raising questions about "decentralization". The strategy is not transparent: the code is not yet fully open source, and the key transaction and liquidation logic is controlled by the off-chain team, which lacks public verifiability These issues have sparked a rethinking of "black box DeFi" in the industry, with @RuneKek, co-founder of Sky (formerly MakerDAO), saying that he plans to build an "open-source version of Hyperliquid" to replace the existing model. Summary: From the extreme rise, to the mechanism test Hyperliquid's success is not because it is perfect, but because it dares to make the experience, deflation, and traffic to the extreme. Its "long board" allows it to reach the top, but whether it can pass through the cycle depends on whether the "short board" can be filled. Of course, its shortcomings are not only its own problems, but also structural propositions that the entire industry must solve before on-chain finance goes mainstream.