Hyperliquid Partners with Phantom to Enhance Solana Trading

TLDR

• Phantom serves over two million daily active users.
• Hyperliquid offers gas-free, high-leverage trading options.
• Partnership enhances liquidity and cross-chain asset bridging.

Hyperliquid is collaborating with Phantom to expand services to the Solana ecosystem. This partnership is expected to bring advanced trading flows and strengthened liquidity bridging to users of the Phantom wallet.

Phantom, a prominent non-custodial wallet on Solana, serves over two million daily active users. Hyperliquid is a decentralized platform for trading perpetuals, known for its gasless and high-leverage contracts. Together, they aim to offer improved service capabilities to Solana users.

Phantom’s Role in the Solana Ecosystem

Phantom has solidified its position as a primary access point for retail users in the Solana ecosystem. By 2022, the platform had attracted significant attention, with over two million daily users. This popularity is partly due to its user-friendly infrastructure.

Previously, Phantom raised $109 million in a Series B funding round led by Paradigm. The funds were directed towards improving technical and security aspects of its services, enhancing the user experience on Solana. These developments have paved the way for collaborations like the one with Hyperliquid.

Hyperliquid’s Decentralized Perpetuals Trading

Hyperliquid stands out by offering a community-focused DeFi platform that prioritizes user rewards. With over 38% of its HYPE token set aside for community benefits, the platform emphasizes gas-free and high-leverage trading through its unique engine.

Designed to function like centralized exchanges while operating on-chain, Hyperliquid facilitates fast transactions and seamless integration across major ecosystems. Its collaboration with Phantom is seen as a move to bolster its standing in the Solana market.

Impact on Solana and Related Assets

The partnership is particularly significant for the Solana ecosystem, given Phantom’s large user base and the introduction of advanced trading capabilities. The collaboration promises to enhance cross-chain asset bridging and liquidity, affecting SOL and other supported networks.

Assets like Ethereum (ETH), Binance Coin (BNB), and others compatible with Hyperliquid’s protocol might see changes in liquidity flows. The partnership is expected to facilitate efficient transactions and trading for these assets across the integrated ecosystems.

Previous Integrations and Their Outcomes

In line with past developments, Phantom has launched products such as the Phantom Staked SOL (PSOL), which has driven staking adoption and liquidity in the Solana community. These initiatives have previously resulted in active engagement and increased wallet utility.

Similar integrations with native in-wallet derivatives, like those seen on other chains with dYdX and GMX, have generally led to higher trading volumes and user involvement. This trend provides an optimistic outlook regarding the impact of the Hyperliquid alignment.