Hyperliquid's Vertical Integration: The 'Everything Exchange'
In its latest research report, Multicoin Capital positions Hyperliquid as a vertically integrated Layer-1 and decentralized exchange that has evolved from a single derivatives protocol to a full-fledged 'everything exchange'. This architecture allows Hyperliquid to combine high-performance execution with deep liquidity, offering a centralized-exchange-like experience while remaining fully on-chain.
Market Dominance and Revenue
The report emphasizes Hyperliquid's dominant market share in DeFi perpetuals. With over 59% of open interest (OI) in this vertical, Hyperliquid's current OI of $9.6 billion surpasses the combined OI of all its on-chain competitors. In 2025, the platform generated approximately $873 million in revenue, underscoring its ability to monetize trading activity. Multicoin points out that this revenue base provides a strong foundation for future growth.
Valuation Framework: $8 Billion Annualized Earnings × 20x P/E
Multicoin Capital applies a conservative growth model to Hyperliquid's earnings trajectory. The firm estimates that by 2028, Hyperliquid could achieve annualized earnings of roughly $8 billion. Applying a 20x price-to-earnings multiple—standard for high-growth fintech platforms—yields a fair value target of approximately $319 per HYPE token. The valuation assumes continued expansion of the DeFi perpetuals market and Hyperliquid maintaining its market share leadership.
Institutional Whale Moves: Aggressive Accumulation Since Early 2025
The report also reveals Multicoin Capital's own positioning in HYPE. The fund began a significant accumulation in early 2025 and has continued to add to its position. HYPE now ranks among Multicoin's flagship holdings. The combination of a public valuation report and real-money buying from a top-tier crypto VC is seen as a strong signal to the market.
Market Implications and Risks
Multicoin Capital's endorsement carries weight given its track record in identifying high-growth crypto projects. The explicit $319 price target, paired with the fund's own capital deployment, could attract additional institutional interest to Hyperliquid. However, the valuation hinges on aggressive growth assumptions; risks include regulatory changes, emergence of competing L1/DEX platforms, and token unlock schedules that could pressure HYPE's price in the near term.