Hyperliquid cuts monthly HYPE team unlocks nearly 90%, from 1.2M to 140K

Hyperliquid cuts monthly HYPE team unlocks nearly 90%, from 1.2M to 140K — Assets.beincrypto.com
Image source: Assets.beincrypto.com

Hyperliquid said it will reduce monthly team token unlocks to 140,000 HYPE for February, down from 1.2 million units unlocked in January, according to a post on the company’s Discord channel.

The cut represents an almost 90% drop in monthly team allocations and could limit near-term supply pressure on markets, potentially reducing short-term volatility for traders.

Despite the reduction, HYPE’s price barely reacted; the token was trading at $33.54 as of this writing.

Hyperliquid did not provide detailed reasoning for the change, but market participants interpreted the move as an effort to align emissions with platform growth and trading activity. January’s 1.2 million-unit unlock had raised concerns about potential oversupply.

BeInCrypto noted the reduction could affect incentive structures and liquidity dynamics across the Hyperliquid ecosystem and that scaling back releases appears to be a more conservative approach to supply management.

It remains unclear how the change will play out over the longer term for price stability and investor confidence, and Hyperliquid has not outlined further details about future unlock schedules.

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