Hyperliquid co-founder told Discord the wallet (0x7ae4…1028) accused of shorting HYPE belongs to a former employee who was terminated in Q1 2024 and is no longer associated with Hyperliquid Labs. The firm reiterated internal rules prohibiting employees/contractors from trading derivatives in HYPE or trading on material non-public information. The address reportedly sold about 4,000 HYPE (~$134,000) in one day in November. The article notes Hyperliquid’s large share of the perpetual DEX market (~$653 billion handled in Q2 2025) and summarizes HYPE’s recent volatility — trading at $25.40 at publication, down ~24% over the past year but up ~290% since launch.

Facts: company identified wallet 0x7ae4…1028 as belonging to a former employee terminated in Q1 2024; the address reportedly sold ~4,000 HYPE (~$134,000) in one day in November; Hyperliquid reiterated employee/contractor bans on derivatives trading in HYPE and trading on material non-public information; HYPE price and recent volatility (trading at $25.40, down ~24% Y/Y, up ~290% since launch) and Hyperliquid’s large perps volume (~$653B in Q2 2025) are all reported in the summary.