Hyperliquid unlocked 9.92 million $HYPE tokens on November 29, 2025, valued between $308 million and $351 million at current market prices. This marks the first major token unlock since the project's Token Generation Event (TGE) in late 2024. The unlocked tokens represent 2.66% of the circulating supply and are part of a 24-month vesting schedule for core contributors.
Buyback Mechanism to Absorb Selling Pressure
To mitigate potential market impact from the unlock, Hyperliquid has previously conducted over $600 million in buybacks through its Assistance Fund. The fund actively purchases tokens from the open market, aiming to offset any sell pressure following the unlock. The team stated that the buyback amount is sufficient to cover the market value of the unlocked tokens, thereby maintaining price stability.
Market Reaction and Price Movement
Following the announcement, $HYPE experienced a slight intraday decline of -1.62%. Market participants remain divided on the short-term outlook. Some traders believe the $600 million buyback provides a strong price floor, while others caution that early contributors may gradually sell their unlocked tokens, creating sustained supply pressure.
Ecosystem Activity and Related Events
Recent weeks have seen significant capital movements within the Hyperliquid ecosystem. According to related reports, a whale deposited an additional 9 million USDC into Hyperliquid after a $230 million liquidation. Another whale opened a $72.32 million short position on $HYPE and tech stocks. Meanwhile, trader CryptoMichNL compared Hyperliquid and Solana for short-term gain potential. These events highlight growing divergence in market sentiment toward $HYPE.
Unlock Background and Outlook
Hyperliquid's token unlock schedule has been closely watched since the project's launch. This unlock is the first milestone in a 24-month vesting plan, with further linear unlocks to follow. By proactively building a buyback buffer, Hyperliquid aims to balance price stability with incentives for core contributors. The success of this mechanism will likely influence market confidence in Hyperliquid's long-term governance and tokenomics.