Hyperliquid to Enter Prediction Markets, HYPE Up by 20%

Key Highlights:

• Hyperliquid’s HYPE token surges as the platform announces its entry into the prediction market space.
• The blockchain is currently testing outcome trading on Hyperliquid’s testnet.
• Once this outcome trading is launched, Hyperliquid will be competing with platforms like Polymarket and Kalshi.

Hyperliquid’s native token HYPE has rallied more than 20% today, February 3, 2026, following the announcement of the platform’s HIP-4 upgrade that would introduce “Outcome Trading” on its testnet. With this announcement, Hyperliquid is now set to enter the currently booming prediction market space, which will target events such as elections, sports outcomes, global happenings and with this inclusion the platform will come out as a multifaceted DeFi powerhouse.

At press time, the price of the token stands at $37.44 with a surge of 22.4% in the last 24-hours as per CoinMarketCap.

Hyperliquid to Enter Prediction Market Space

At its core, HIP-4 will let people place bets on real-world events directly on the blockchain. Users can bet on simple yes-or-no outcomes, like “Will Candidate X win?” or “Will Team Y become champions?”, without relying on outside systems or broken pools of money.

This announcement has come at a time when the prediction markets are booming and the trading has hit $12.4 billion last month. Hyperliquid, already known for fast crypto trading on its own blockchain, now wants to enter this fast-growing market too just like a few other blockchains. For example, BNB Chain also entered the space with PredictBNB and PancakeSwap Prediction recently.

With this move, Hyperliquid will place itself in a direct competition with well-established platforms such as Polymarket, which is currently leading the election-related betting. Hyperliquid believes that it has an advantage because the blockchain is fast and it is cheaper to use as well. The users will also get lower trading fees by staking HYPE tokens.

Moreover, HYPE tokens will not just be used for paying fees, but with these tokens users can also vote on how the prediction markets work. For instance, these tokens will also be used for deciding the rules of the prediction market, they will be used to decide how event outcomes are verified and this is how they will give users a real say in the system.

Even though HIP-4 is in its testnet phase, but it has managed to attract the attention of the traders and builders due to which the trading volume on the platform has increased. Moreover, this launch will increase the utility and demand of the HYPE token. The trading volume has also jumped in the last 24-hours by 44.81%.

What’s Next?

US regulations are something that can act as a challenge, Hyperliquid’s decentralized setup and global focus reduces that risk. If HIP-4 works as planned, it could push Hyperliquid as one of the top-tier of prediction market place and could increase the demand of HYPE tokens.

Also Read: Hyperliquid’s Silver Boom Pushes $HYPE Token Above $30