Singapore's regulator has added Hyperliquid to its "red list": what this means for DeFi
On June 26, the Monetary Authority of Singapore (MAS) added the website of the decentralized exchange Hyperliquid to its Investor Alert List (IAL). The portal of the Hyper Foundation organization was also included in the same list. This regulatory action is not merely a formality, but a clear signal to the market: the platform may be mistakenly perceived as a licensed entity, which is unacceptable in the eyes of MAS.
It is important to understand the context: inclusion in the IAL is not a ban on operations or the start of enforcement measures. As representatives of Hyperliquid explained, it is nothing more than a warning for investors. The exchange team emphasized that their protocol is an open infrastructure that has never claimed to have a MAS license. "Hyperliquid is a public infrastructure. It does not have, and has never claimed to have, a license or authorization from MAS, and no one should consider it as such," the developers noted.
Let me remind you that since the beginning of summer 2025, the centralized exchanges KuCoin and Bitget have also been added to the same list. This fits into Singapore's overall strategy: since June 2025, the regulator has required all crypto companies to obtain a license as a provider of digital token services. Otherwise, they face the termination of services for clients from abroad.
My analysis: Although Hyperliquid is a decentralized protocol, MAS is clearly seeking to extend its influence over the entire crypto market, including the DeFi segment. For users, this means that even working with "open" platforms may carry regulatory risks, especially if they are within Singapore's jurisdiction. For now, Hyperliquid continues to operate normally, but this precedent highlights the growing tension between decentralized finance and traditional regulators.