Hyperliquid Moves Into Prediction Markets With New HIP-4 Proposal

TLDR

• Hyperliquid HIP-4 launches outcome contracts as HYPE jumps 10%
• HIP-4 expands Hyperliquid into prediction markets and new derivatives
• HYPE rallies 10% after Hyperliquid unveils HIP-4 framework
• Hyperliquid adds non-linear outcome trading with HIP-4 upgrade
• HIP-4 signals Hyperliquid’s push beyond perpetual futures

Hyperliquid advanced its roadmap today with HIP-4, and the HYPE token rose 10% as the market reacted. The decentralized exchange outlined a new outcome-based contract framework that broadens its derivatives structure. The update signals a shift toward prediction markets and non-linear products on the growing platform.

HIP-4 Framework Expands Hyperliquid’s Contract System

HIP-4 introduces fully collateralized outcome contracts that settle within a defined range and remove reliance on leverage. The structure brings dated markets and non-linear payoff models to a system previously centered on perpetual futures. HIP-4 aims to create controlled environments for early testing before wider deployment.

The proposal establishes a foundation for prediction markets by enabling objective settlement processes and fixed-range payouts. HIP-4 also prepares Hyperliquid for broader use cases that require structured derivative behavior. The exchange plans to manage initial markets through curated listings to ensure stable performance.

Outcome contracts under HIP-4 are currently active on testnet, allowing the team to refine operational steps. The system will shift to mainnet after validation and integration of required settlement feeds. Hyperliquid targets a phased rollout that maintains platform reliability.

Outcome Trading Broadens Use Cases Across the HyperCore Stack

Outcome trading expands HyperCore by adding new valuation curves and time-based structures to its current design. HIP-4 supports this expansion by enabling applications such as prediction markets and options-style instruments.  Developers may create new models that merge these outcomes with existing leverage-free tools.

The contract type interacts with other platform components, including portfolio margin and the HyperEVM environment. HIP-4 therefore increases the expressiveness of on-chain strategies. The new framework allows structured risk management without requiring liquidation mechanisms.

Hyperliquid intends to denominate canonical outcome markets in USDH, which strengthens internal settlement consistency. HIP-4 also establishes objective reference points for fair pricing of each market. Standardized settlement reduces disputes and enhances transparency across the outcome system.

HYPE Token Gains Momentum as HIP-4 Development Advances

The HYPE token posted strong gains as users reacted to the expansion of Hyperliquid’s permissionless market capabilities. HIP-4 added renewed attention after recent growth in custom perpetual markets fueled demand across categories such as commodities and stocks. Increased platform activity supported a steady rise in token engagement.

The exchange previously launched HIP-3, which enabled users to create perpetual markets by staking HYPE. HIP-4 now extends this model into new derivative categories with broader strategic value. Hyperliquid expects future permissionless listings once user feedback shapes the final structure.

The platform recorded rising traction over the past month as market creation activity reached new highs. HIP-4 reinforces this momentum by offering a significant expansion in contract design. The proposal prepares Hyperliquid for deeper participation in competitive prediction-market spaces.

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