UK Regulator Flags Hyperliquid as Unauthorized Amid Wall Street Scrutiny

The Financial Conduct Authority has placed Hyperliquid and its affiliated Hyper Foundation on its warning list, citing unauthorized financial services activity in the UK. The decentralized derivatives platform, which specializes in perpetual futures contracts, has drawn scrutiny as it expands into traditional finance territory.

Hyperliquid’s non-custodial trading model—allowing indefinite leveraged positions—has made it a focal point for offshore crypto speculation. The FCA’s notice explicitly states consumers would lack recourse to UK financial protections, marking a regulatory hurdle for the platform’s growing institutional interest.

The warning coincides with Hyperliquid’s accelerating traction among crypto-native traders and Wall Street observers. Its perpetual futures product, enabling open-ended exposure to asset price movements, has become a key liquidity conduit in unregulated markets.