HyperSwap V2

HyperSwap V2 is not on the firm’s current list of products eligible for the shelf because the amm-lp policy class applies. This is a firm policy decision, not a negative quality rating or a client trade instruction. The facts below explain how it works, who controls it, how losses occur, and how users exit.

Review triggers: events that reopen the verdict
• Ships a product line without impermanent-loss exposure that merits its own review

Watched nightly: a warning on its venues or files, or a cited document that changes, reopens the memo. The first confirmation is due 2026-11-15.

The research file

Mechanism applicability

HyperSwap V2 is a full-range constant-product AMM. Its documentation says each pool holds two assets. Providers deposit equal values of both assets, receive fungible LP tokens, and earn a share of swap fees as trading changes the reserve ratios. Those facts meet both requirements in the shared v1 amm-lp dossier.

Current observation and perimeter

The DefiLlama API read on 2026-08-15 classified HyperSwap V2 as a DEX, measured tokens locked in its liquidity pools, and reported approximately $4.24M, all on Hyperliquid L1. Current HyperSwap documentation still provides V2 instructions for adding liquidity, swapping and using the router, so the product is live rather than archived.

Control and exit applicability

Standard V2 LPs burn their LP tokens and receive the pool’s current amounts of both assets, subject to minimum-amount and deadline controls. Those settings limit execution but cannot restore the hold-only asset mix. HyperSwap also offers an optional burn-and-delegate path that permanently locks V2 liquidity and leaves only transferable rights to collect fees. That exit limit is irreversible and must not be confused with ordinary LP redemption.

Why the class rule decides

V2 fee income pays the client for continuously taking the opposite side of relative-price flow. The shared v1 amm-lp dossier thus governs before any review of token-launch quality or the Hyperliquid L1 chain. Reopen only for a distinct HyperSwap product with no paired or synthetic inventory exposure and no irreversible principal lock, after independent checks confirm proposed-size exit and settlement on an approved chain.

Class rule

The amm lp class is outside the approved structures, so every protocol in it is not approved until the rule changes. The rule is about the structure, not an adverse finding about this protocol, and it is not a client instruction. The events that would reopen it are listed with the memo.

Sources

The claims above trace to these. Where a number could not be independently verified, the thesis says so.

• HyperSwap — liquidity-pool mechanism · primary · accessed 2026-08-15
  Supports: two-token pools, equal-value deposits, Uniswap V2 model, LP fees, reserve pricing
• HyperSwap — constant-factor AMM and LP exit · primary · accessed 2026-08-15
  Supports: constant product, LP tokens, swap fees, reserve changes, withdrawal
• HyperSwap — V2 router functions · primary · accessed 2026-08-15
  Supports: add liquidity, remove liquidity, two-asset amounts, slippage minima, deadline
• HyperSwap — permanent burn-and-delegate option · primary · accessed 2026-08-15
  Supports: V2 LP token, permanent lock, fee rights NFT, no principal withdrawal
• DefiLlama — HyperSwap V2 survey record · secondary · accessed 2026-08-15
  Supports: current TVL, Hyperliquid L1 perimeter, DEX category, pool-balance methodology

Inherited controls

The research above describes the protocol layer. Every position also inherits the asset it holds and the chain it settles on. The layer with the most administrative power sets the position’s effective control; that describes control, not quality or suitability.