A significant precedent has emerged in the crypto industry: the Hyperliquid Policy Center team, together with trade.xyz (XYZ Ltd.) and the law firm Sullivan & Cromwell LLP, held a confidential meeting with the SEC's specialized Crypto Task Force. The central topic of the negotiations was the regulation of crypto assets and the specifics of decentralized perpetual contract markets.
According to an official memorandum published by the SEC, participants thoroughly analyzed the technological architecture of the Hyperliquid protocol and its market infrastructure. The meeting was initiated by the group, represented at the event by Sullivan & Cromwell partner Natasha Vasan.
Key Figures and Context
Among the meeting participants were Hyperliquid Policy Center CEO Jake Chervinsky, Hyperliquid founder Jeff Yan, and XYZ Ltd. product lead Collins Belton. The latter company, it should be noted, is responsible for deploying the HIP-3 upgrade and providing round-the-clock support for perpetual contracts on the platform.
This meeting took place just a few days after the Hyperliquid Policy Center, together with the non-custodial wallet Phantom, submitted a detailed joint comment to the CFTC. In that document, market participants called for exempting developers of on-chain applications and users of self-custodial wallets from traditional requirements imposed on intermediaries. In effect, we are witnessing synchronized engagement with two key U.S. regulators within a single week.
Hyperliquid's Strategic Position
The Hyperliquid Policy Center, which began operations in February 2026 as an independent 501(c)(4) organization, has set an ambitious goal: creating legal pathways for U.S. citizens to access on-chain derivatives. Today's negotiations with the SEC represent one of the center's most notable initiatives since the project's launch.
In recent months, Hyperliquid has firmly strengthened its position as a leader in the decentralized perpetual contract market. The negotiations highlight regulators' growing interest in high-throughput on-chain markets that operate 24/7 without breaks — a completely new challenge for the traditional financial system.
Against this backdrop, the HYPE token showed strong growth, trading around $65. Investors are clearly pricing in expectations of potential regulatory easing for the ecosystem.
Looking Ahead
As the Crypto Task Force continues to actively solicit input from market participants, this meeting could directly influence future recommendations for decentralized trading platforms. In the coming months, regulators expect new public comments and plan to hold additional sessions — a systematic effort is underway to create truly workable rules.
Analyst's Comment: In my view, we are witnessing a tectonic shift. While DeFi projects previously preferred to operate in a gray area or move offshore, Hyperliquid is demonstrating a new model: direct dialogue with Washington and a willingness to compromise. This could become a "roadmap" for the entire decentralized finance sector, but only if regulators are genuinely ready to listen rather than dictate.