Hyperliquid (HYPE): The ultimate guide to farming HyperEVM airdrops

LALilian Aliaga

April 16, 2025

Hyperliquid (HYPE): The ultimate guide to farming HyperEVM airdrops

The launch of HyperEVM, Hyperliquid's emerging DeFi layer, has unlocked new and underexploited airdrop opportunities. From a second HYPE airdrop to major protocol point systems, here's everything you need to know to optimize your farming of the HyperEVM ecosystem.

Context about Hyperliquid

Hyperliquid is arguably one of the fastest-growing protocols in recent years. Starting as a simple perpetual DEX, it quickly established itself as the undisputed leader in the sector, now capturing over 70% of Perps DEX volume and accounting for nearly 10% of Binance’s derivatives market on its own.

But it was in November 2024 that Hyperliquid made headlines, with the launch of HYPE via a record-breaking airdrop — 31% of the supply was distributed to over 94,000 users. At market peak (36 $), this represented more than 11 billion dollars, far surpassing all previous airdrop records.

But the team didn’t stop there. In February 2025, it launched HyperEVM on mainnet, an EVM-compatible network integrated directly into its Layer 1 blockchain. While Hyperliquid’s value proposition as a Perps DEX is now widely recognized, HyperEVM remains largely underestimated. And as always, these are the contexts where the best opportunities emerge.

Even more so considering that nearly 40% of the HYPE supply remains allocated to community rewards. As such, the launch of a second HYPE airdrop seems increasingly likely. And this time, activity on HyperEVM could well be the main eligibility criterion.

→ Read our investment thesis on Hyperliquid (HYPE) - "The House Of Finance:

What is HyperEVM?

HyperEVM is an EVM-compatible network deployed on Hyperliquid’s blockchain. For reference, the latter is based on HyperBFT, a consensus mechanism optimized from Byzantine Fault Tolerant algorithms (HotStuff / LibraBFT), capable of reaching block times under one second and a theoretical capacity of 2 million transactions per second.

The infrastructure is based on two interconnected layers:

  • HyperCore: the native execution layer (Layer 1, written in Rust), dedicated to running the Perps DEX, the spot market, liquidation mechanisms and risk management. It already achieves 200,000 TPS with a block-time of 0.07 seconds.
  • HyperEVM: the EVM-compatible layer, designed to host smart contracts and enable the deployment of native DeFi applications, while benefiting from the performance of the HyperBFT consensus layer.

The originality of the model lies in a unified architecture, in which HyperCore and HyperEVM share the same state: no bridge, no proof generation, no delay. DeFi applications can interact natively with perpetual and spot markets. HyperEVM thus inherits the performance of the Layer 1, with near-instant finality times and scalability far beyond other EVM chains.

technical-stack-hyperliquid.webp

An airdrop opportunity?

Despite the undeniable success of the Hyperliquid DEX, the HyperEVM ecosystem remains largely underexploited. Its TVL barely exceeds 250 million dollars, still a modest level given the traction of the main protocol.

  • 31% of the HYPE supply has already been distributed, and 39% remains to be allocated for future reward campaigns (around 4 billion dollars at current price).
  • The protocols deployed on HyperEVM have their own point systems.

In other words, we are looking at a double opportunity. A second HYPE airdrop is possible (though nothing is confirmed), and this time, activity on HyperEVM could be a determining factor. On top of that, this activity will unquestionably be rewarded through future token distributions by ecosystem protocols.

Momentum is real. Projects are multiplying, TVL is growing, but market attention remains limited, especially cooled off by current market conditions. As is often the case, the best opportunities arise when no one is watching. So here’s a guide to help you explore the HyperEVM ecosystem.

Farming prelude

Before getting started, the first step is to add the HyperEVM network to your wallet. To do so, go to ChainList or add the network manually with the following information:

Next, you’ll need to transfer some HYPE to this wallet. To do so, go to Hyperliquid (if you haven’t created an account yet, we invite you to use our referral link to support us) and connect your wallet. Deposit USDC via Arbitrum, buy HYPE, then go to the "Portfolio" tab and click "Transfer to EVM".

hyperevm-ecosystem-mapping.webp

HyperUnit

Unit (also known as HyperUnit) is the asset tokenization infrastructure on Hyperliquid, allowing users to deposit and withdraw assets from their native blockchains. It plays a key role in the development of the spot market on the DEX (in March 2025, it accounted for 35% of spot volume), as well as in integrating assets within the HyperEVM ecosystem.

For now, users can only deposit BTC and ETH (SOL coming soon) directly from their on-chain wallets or from exchanges. These assets can then be used on the Hyperliquid platform or within HyperEVM decentralized applications.

Unit does not yet have a public points program, but recent rumors of a token launch suggest an airdrop could be likely. In any case, interacting with Hyperliquid’s native spot module often means using Unit, which may be useful for a second HYPE airdrop or a potential Unit airdrop.

Farming tips:

  • Deposit BTC or ETH via the Unit interface.
  • Trade listed tokens on the Hyperliquid spot market through Unit.

HyperLend

HyperLend is the main lending protocol in the HyperEVM ecosystem, with a TVL of 70 million dollars and more than 6,000 active users. It serves as the backbone for several other protocols such as Felix, Harmonix, Mizu, and Keiko, which rely on its liquidity to offer their services.

HyperLend provides a lending and borrowing market for three assets: HYPE, wstHYPE, and UBTC. Currently, deposit and borrow limits have been reached, but these limits are increased at the start of each epoch (every 7 days).

The public points program launched on April 7, 2025, and is based on a weekly XP system automatically earned through various actions: asset deposits, borrowing, and daily activity. There are also multipliers: testnet user (20%), HypioHL NFT holder (10%), referral link (13 levels).

Bonus: each user with at least 50 dollars deposited and 100 points accumulated can claim 20 additional XP each day.

Farming tips:

  • Deposit HYPE, wstHYPE, or UBTC on HyperLend at the beginning of each epoch (note: TVL limits are hit quickly, so timing is crucial).
  • Borrow HYPE, wstHYPE, or UBTC to increase reward weight (borrowing has a significant weight since it generates fees).
  • Use borrowed assets to farm other protocols.
  • Unlock the daily XP claim once thresholds are met and collect it daily.

Want to use HyperLend? We invite you to use our referral link to support us.

Looped Hype

Looped HYPE is a liquid staking protocol on Hyperliquid, developed by Staking Rewards and Nucleus. It allows users to convert HYPE into LHYPE, a token offering exposure to yield strategies without liquidation risk. LHYPE can be used as collateral or placed in liquidity pools across many other protocols in the HyperEVM ecosystem, maximizing point accumulation.

Looped Hype launched a points system called the Early Adopter Program, with 6% of the future token supply allocated to users who mint and hold their LHYPE for a minimum of 8 weeks. Phase 1 (accounting for 4% of the supply) is now over, while Phase 2 (2% of the supply) is still ongoing. Signups for Phase 3 are already open.

Farming tips:

HyperSwap

HyperSwap is a native DEX on HyperEVM built on its own automated market maker (AMM). It allows users to swap a wide variety of tokens and participate in the protocol by providing assets to liquidity pools.

HyperSwap has launched a points system, distributing 2.5 million points over 5 weeks (500,000 points per week). Points are based on user activity, including swapping, providing liquidity, and interacting with partner protocols.

Snapshots are taken every Sunday at 10 PM PST, and most of the points have yet to be distributed. A detailed breakdown of point distribution is available in the “Points” tab.

Want to use HyperSwap? You can support us by using our referral link

Farming tips:

  • Use HyperSwap weekly to perform manual swaps (any amount counts, activity matters)
  • Provide liquidity for bonus-eligible pairs like feUSD, USDXL, KEI, or LHYPE
  • Hold certain NFTs (Hypio, Buddy, CatCabal) or community tokens in your wallet to benefit from automatic bonuses

Felix Protocol

Felix is the native stablecoin protocol of the HyperEVM ecosystem. It allows users to mint (or more precisely, borrow) feUSD by depositing HYPE or UBTC as collateral. feUSD can then be used to provide liquidity to borrowers and contribute to the liquidation mechanism (via the "Earn" tab), or for yield strategies on other HyperEVM applications.

Felix’s points program started on April 13, 2025 at 12 PM UTC, with weekly distributions based on onchain activity: minting feUSD, staking in Stability Pools, providing liquidity, or using integrated dApps.

Want to use Felix Protocol? You can support us by using our referral link

Farming tips:

  • Mint feUSD by depositing HYPE or UBTC as collateral on Felix Protocol
  • Stake feUSD in the Stability Pools to participate in liquidations (this allows users to receive HYPE at a discount)
  • Provide liquidity on pairs like feUSD/USDXL or feUSD/HYPE on KittenSwap or HyperSwap
  • Track Felix’s integrations in other dApps (notably Mizu and Harmonix) to accumulate points across multiple campaigns

HypurrFi

HypurrFi is a leveraged lending platform built around USDXL, an overcollateralized native stablecoin. Users can deposit HYPE or stHYPE (while continuing to earn yield on deposited assets), as well as UBTC and UETH as collateral, to borrow USDXL, but also HYPE, stHYPE, UBTC, and UETH.

The protocol also offers a swap feature, a bridge between Hyperliquid and HyperEVM, and soon, HYPE staking.

A points system is in place, although points are not yet visible in the interface. However, user activity is already being tracked in the background, as shown in the “Points” tab on HypurrFi. Some tasks receive multipliers, including HYPE lending on HypurrFi (x2) and LPs containing USDXL on HyperSwap (x3).

Farming tips:

  • Deposit HYPE, stHYPE, UBTC, or UETH (prefer HYPE to maximize points) and borrow USDXL
  • Use borrowed USDXL to provide liquidity on KittenSwap or HyperSwap, allowing you to accumulate points in multiple protocols
  • Monitor your Health Factor to avoid liquidation

KittenSwap

KittenSwap is a native DEX of the HyperEVM ecosystem, built around a ve(3,3)-style tokenomics model. For now, it mainly allows users to perform token swaps and provide liquidity in pools.

KittenSwap’s points program is directly tied to protocol activity and lets users earn an allocation of veKITTEN (30% of the KITTEN token supply is locked in veKITTEN and distributed to points holders).

Want to use KittenSwap? You can support us by using our referral link

Farming tips:

  • Provide liquidity on KittenSwap in high-multiplier pools such as PURR/HYPE, LHYPE/HYPE, or USDXL/HYPE
  • Avoid pools with very high TVL where rewards are heavily diluted
  • Don’t overallocate your wallet to KittenSwap, as its tokenomics don’t appear to be highly favorable

Keiko Finance

Keiko Finance is a CDP (Collateralized Debt Position) protocol deployed on HyperEVM, allowing users to deposit assets like HYPE or wstHYPE as collateral to mint KEI, an overcollateralized stablecoin. The protocol relies on hard peg mechanisms to maintain KEI's price, with a natural ceiling at $1.10 and a price floor ensured by the ability to redeem against collateral.

The Keiko Points Program began on March 1, 2025 and spans two 12-week seasons. Each week, 1 million points are distributed to active participants, with a total of 24 million points for the entire program. These points will be converted into KEIKO tokens during the Genesis Distribution, representing 28% of the total supply.

Want to use Keiko? You can support us by using our referral link or entering the code "LILOAK" in the “Referral” field on the “Points” tab

Farming tips:

  • Create a vault by depositing HYPE or wstHYPE on Keiko Finance to mint KEI
  • Borrow KEI and deposit it in the Stability Pool to earn extra points and liquidation rewards
  • Provide liquidity on KEI/HYPE or KEI/USDXL pairs on DEXs like KittenSwap or HyperSwap to maximize point accumulation
  • Keep vaults active throughout the full season to earn the maximum amount of points, as older vaults generate more points over time

Conclusion and farming strategy

The HyperEVM ecosystem opens the door to a circular farming approach, where each asset can be redeployed to optimize point accumulation. While there’s no one-size-fits-all strategy, some steps currently offer the best entry points to position yourself effectively.

On one side, Unit is the ideal gateway for BTC or ETH holders. By bridging these assets via HyperCore, they are transformed into UBTC and UETH, which are compatible across the entire HyperEVM ecosystem.

On the other side, the simplest strategy is to deposit HYPE on Looped Hype to receive LHYPE, a token that generates passive yield. This token should be held to maximize rewards from the Looped Hype airdrop, but it can also be used to farm points across numerous other protocols.

Once these assets are in hand, the next step is to maximize borrowing loops via HyperLend, HypurrFi, and Keiko Finance. These protocols let users lock LHYPE, HYPE, UBTC, and UETH as collateral in order to borrow these same assets, stHYPE, wstHYPE, or stablecoins (USDXL, KEI), as well as other assets usable across the ecosystem.

Finally, the available tokens (native or borrowed) can be deployed in liquidity pools on KittenSwap and HyperSwap, with a preference for HyperSwap, whose points system remains simple, direct, and well integrated into the broader ecosystem.

At this stage, the full loop is in place: an initial capital in HYPE, ETH, or BTC can be transformed into a multi-protocol strategy, stacking yield, points, and future airdrop opportunities across the entire HyperEVM ecosystem.

If you haven't created an account on Hyperliquid yet, feel free to use our referral link to support us