The Hyperliquid Policy Center team, together with trade.xyz (XYZ Ltd.) and the law firm Sullivan & Cromwell LLP, held a direct meeting with the SEC's dedicated Crypto Task Force. The key topic of negotiations was the regulation of digital assets and decentralized perpetual contract markets. This event marks an important step towards integrating high-throughput on-chain protocols into the U.S. legal framework.
According to the official meeting memorandum, participants thoroughly analyzed the technological architecture of the Hyperliquid protocol and the specifics of its market infrastructure. The meeting was initiated by a group officially represented by Natasha Vasan from Sullivan & Cromwell. On the Hyperliquid side, the discussion included Policy Center CEO Jake Chervinsky, protocol founder Jeff Yan, and XYZ Ltd. Head of Product Collins Belton — the company responsible for deploying HIP-3 and ensuring 24/7 operation of perpetual contract markets on the platform.
A Two-Pronged Approach: Parallel Engagement with the SEC and CFTC
Notably, this meeting took place just days after the Hyperliquid Policy Center, together with the non-custodial wallet Phantom, submitted a detailed joint comment to the CFTC. In this document, the participants called for exempting on-chain application developers and self-custodial wallet users from requirements imposed on traditional intermediaries. Thus, within a single week, Hyperliquid held high-level negotiations with two key U.S. regulators simultaneously.
The July 9th letter to the CFTC was a response to the agency's June 18th request regarding the modernization of derivatives regulation. This demonstrates that the Hyperliquid team is not merely observing the process but is actively participating in shaping future rules.
Context and Market Reaction
The Hyperliquid Policy Center, launched in February 2026 as an independent 501(c)(4) organization, aims to create legal avenues for Americans to access on-chain derivatives. The current negotiations represent one of the Center's most notable initiatives in its dealings with the SEC since the project's inception. In recent months, Hyperliquid has strengthened its position as a leader in the decentralized perpetual contract market, and these negotiations merely underscore the growing regulatory interest in the sector.
Against the backdrop of this news, the HYPE token demonstrated steady growth, trading around $65. Investors are pricing in expectations of potential regulatory easing for the ecosystem. As the Crypto Task Force continues to gather market participant opinions, this meeting could directly influence future recommendations for decentralized trading platforms.
My Analysis: The fact that Hyperliquid is simultaneously engaging with both the SEC and the CFTC indicates the protocol's maturity and its commitment to transparency. The market clearly perceives this as a positive signal, reducing regulatory risks. In the coming months, we will likely see even more such meetings, as Washington finally transitions from rhetoric to developing operational rules for DeFi. For HYPE holders, this is a fundamental bullish factor for the medium term.