Hyperliquid Labs Establishes Headquarters in Singapore
Hyperliquid Labs has established its official headquarters in Singapore, where a team of roughly 11 relocated in 2024. However, the Monetary Authority of Singapore (MAS) has stated that it does not consider Hyperliquid to be regulated under its jurisdiction. According to a report by the Financial Times, MAS clarified that it is not aware of any regulatory status for Hyperliquid in significant jurisdictions around the world.
Regulatory Status and Response
In response to inquiries from the Financial Times, MAS commented, “We are not aware that Hyperliquid is regulated in any major jurisdiction,” highlighting the decentralized nature of the platform as a key reason for its position.
Hyperliquid Labs acknowledged its unregulated status and clarified that it has never claimed to possess any form of authorization from MAS. The company expressed its willingness to collaborate with regulatory bodies to establish clear guidelines for decentralized finance.
Investor Alert and Compliance Risks
Earlier this summer, the MAS added Hyperliquid to its Investor Alert List on June 26, warning investors about entities that they might mistakenly believe to be officially licensed or regulated. The list aims to alert the public to potential compliance risks, emphasizing that it is not exhaustive and includes information available at the time of publication. Hyperliquid responded to being listed, stating that it should not be misinterpreted as enforcement action or any indication of malfeasance.
Future Regulatory Requirements
Amidst discussions on regulation within Singapore, MAS indicated in June 2025 that all digital token service providers serving clients outside of Singapore would need to be licensed or cease operations by June 30, 2025. This was underscored by the high regulatory standards set by MAS due to increased risks associated with money laundering and challenges in supervision for providers operating overseas.
Challenges for U.S. Customers
For businesses targeting American customers, regulatory hurdles remain. Former SEC senior counsel Ashley Ebersole highlighted in an August report that current U.S. legislation does not facilitate the straightforward offering of offshore crypto perpetual futures to retail clients. She explained that the Commodity Futures Trading Commission (CFTC) is likely to oversee contracts related to commodities, while the Securities and Exchange Commission (SEC) may be involved with securities-related products — a process that could take an estimated 10 to 12 months due to necessary legislative actions and regulatory frameworks.
Recent Developments
In a recent development, Kraken’s parent company, Payward, announced their intention to launch regulated Hyperliquid perpetual markets utilizing the platform’s HIP-3 infrastructure. This proposed market would require regulatory consent before U.S. traders can participate. Bitnomial Exchange is set to develop the contracts, with Bitnomial Clearinghouse overseeing the clearing and settlement processes. In providing customer access, Payward plans to use NinjaTrader Clearing for account management, establishing a controlled environment where traders must go through onboarding processes to access regulated products created by Bitnomial.
