Singapore's regulator has placed Hyperliquid on 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." This list includes services that may be mistakenly perceived by users as licensed or regulated entities.
In addition to the main Hyperliquid domain, the regulator also included the website of the Hyper Foundation organization. This is standard MAS practice: the list serves as a warning tool, not a direct ban on operations, but it does impose a serious reputational mark.
Hyperliquid Team's Response
Representatives of the decentralized exchange promptly responded to the event, emphasizing that being added to the list is neither a ban, nor the start of enforcement measures, nor an admission of a violation. In an official statement, the team noted: "Hyperliquid is public infrastructure. The platform has never had, nor claimed to have, a license or authorization from MAS, and no one should consider it as such. Nothing has changed on the network." They also reminded that users retain full control over their assets, and all transactions are processed transparently.
This statement is a classic defensive position of DeFi projects, emphasizing their decentralized nature and lack of jurisdictional ties.
Context and Regulatory Tightening
Recall that since the beginning of summer 2025, MAS has already added major centralized exchanges such as KuCoin and Bitget to its list. These actions are part of a broader regulatory strategy. Back in June 2025, MAS mandated that all crypto companies serving clients in Singapore obtain a digital token service provider license. Otherwise, they are required to cease operations with foreign users.
Thus, the inclusion of Hyperliquid on the "red list" is not a random episode, but a logical continuation of Singapore's systematic policy to "cleanse" the market of unlicensed players, even if they operate exclusively on the blockchain.
My analysis: For DeFi protocols like Hyperliquid, such regulatory actions signal the need to either adapt to local requirements (e.g., through geo-blocking users from Singapore) or prepare for further pressure. For now, the market perceives this as a "yellow card," but if MAS decides to move to stricter measures, the consequences could affect the entire perpetual DEX ecosystem.