MAS flags Hyperliquid on Investor Alert List as exchange defends regulatory stance and traders watch HYPE price
The Monetary Authority of Singapore (MAS) has added decentralized exchange Hyperliquid to its Investor Alert List, prompting the platform to clarify that it has never claimed to hold a license or regulatory authorization in the city-state. At the same time, its native token HYPE continues to trade around key technical levels, with no clear trend emerging in the immediate aftermath of the move.
According to MAS, the new entry, published on Friday, covers both the Hyper Foundation’s website and the Hyperliquid trading application. The central bank and financial regulator describes the Investor Alert List as a consumer protection tool designed to highlight entities that might be mistakenly perceived as licensed or supervised by MAS.
Crucially, the regulator stresses that inclusion on the list does not amount to a ban, suspension, enforcement action, or a finding of misconduct. Instead, it is a public notice: a signal to investors that a company is not regulated by MAS, even if its marketing, branding, or online presence could lead some users to think otherwise.
Hyperliquid responded on June 26 in a post on X, emphasizing that its operations remain unaffected by the listing. The team noted that its permissionless, on-chain infrastructure continues to function as before and reiterated that it has never presented itself as licensed or authorized by MAS. The exchange added that it remains open to constructive dialogue with regulators and institutions and supports the development of clear, transparent rules for on-chain finance.
In a detailed statement, the protocol underscored that the Investor Alert List is not a judgment on the legality of its operations or an accusation of wrongdoing. Rather, the list indicates that, based on MAS’s information, some users could incorrectly assume Hyperliquid holds regulatory approval in Singapore, which the platform says it has never claimed.
Despite the increased scrutiny, Hyperliquid remains one of the largest decentralized exchanges by activity. Industry data shows the platform currently ranking among the top ten DEXs by daily trading volume and securing an estimated total value locked of around 5.7 billion dollars across its on-chain markets. This scale has made Hyperliquid a notable player in derivatives-focused decentralized finance.
Hyperliquid is not the only crypto trading venue to appear on MAS’s Investor Alert List. Earlier this month, the regulator also added Bybit, while KuCoin and Bitget had already been listed. Taken together, these additions suggest MAS is systematically flagging major global crypto platforms that are accessible to Singapore-based users but are not licensed under its domestic regulatory regime.
The Investor Alert List differs meaningfully from direct enforcement actions such as license revocations, fines, or orders to cease operations. It functions instead as a signpost for the public, drawing a sharp line between firms regulated by MAS and those that operate outside its licensing framework. By making this distinction visible, MAS aims to limit the risk that retail investors assume they are receiving the protections associated with MAS-supervised financial institutions when they are not.
The latest listing arrives amid a broader tightening of oversight for digital asset activities in Singapore. In May 2025, MAS instructed crypto businesses serving overseas customers from Singapore to either secure the necessary licenses or halt those operations. The regulator stressed that this was not a sudden policy reversal but the conclusion of a multi-year transition, during which it had repeatedly communicated its expectations since 2022.
That directive was designed to close a loophole that allowed firms based in Singapore to avoid licensing by focusing solely on foreign users. By extending the licensing requirement to such activities, MAS sought to ensure that locally based entities-regardless of whether they serve domestic or international clients-fall under its regulatory perimeter.
MAS has framed these steps as part of a broader effort to enhance investor safeguards and align Singapore’s framework with evolving global standards in Anti-Money Laundering and Countering the Financing of Terrorism. For crypto businesses, this means more stringent compliance demands, broader reporting obligations, and higher expectations around risk management and consumer disclosures.
For now, the regulatory shift has not translated into a sharp reaction in the market for HYPE, Hyperliquid’s native token. Price action remains dominated by technical trading rather than headlines.
On the four-hour chart, HYPE continues to move within a descending channel that has defined the recent corrective phase. After bouncing from lows near 61 dollars, the token was recently trading around 65 dollars, hovering near the upper boundary of that channel. This zone has repeatedly capped price rallies in recent sessions, turning it into an important resistance level that traders are closely monitoring.
Technical indicators suggest a tentative improvement in momentum. The Moving Average Convergence Divergence (MACD) indicator has flipped into a bullish crossover, with the histogram shifting into positive territory. At the same time, the Relative Strength Index (RSI) has recovered above the neutral 50 mark, hinting that buying interest has strengthened after a period of subdued demand.
In derivatives markets, positioning data highlights several zones where price moves could trigger a cascade of liquidations. Analytics on liquidation levels show one of the largest clusters of short liquidations between roughly 66 and 67 dollars, with further leveraged positions stacked around 68 dollars. If HYPE manages to break above these levels, short sellers could be forced to buy back positions, potentially amplifying any upward move.
On the downside, notable pools of liquidations remain concentrated around 63-62 dollars, with an additional support area near 61 dollars-the level that recently provided a floor during the latest pullback. Should the descending channel remain intact, these lower zones may become the next key battlegrounds where leveraged traders are tested.
Overall, the chart still paints a mixed picture. While momentum has improved and short-term indicators are leaning cautiously bullish, HYPE has yet to deliver a clean, sustained breakout above the descending channel that has defined its recent downtrend. Until that happens, the broader bearish structure remains in place despite the rebound from local lows.
For investors and traders trying to interpret MAS’s decision, the key point is that the Investor Alert List is not, by itself, a verdict on the quality of a protocol or its technology. Instead, it highlights a regulatory status: the entity is not licensed or regulated by MAS, and investors should approach it with the understanding that they are dealing with an unregulated platform in that jurisdiction.
From a risk-management standpoint, users engaging with exchanges on the Investor Alert List may want to increase their due diligence. That can include understanding where the entity is based, what legal protections (if any) apply in the event of disputes, how the protocol’s governance is structured, and whether there are clear policies on security, audits, and reserves. For decentralized platforms, it is also important to assess smart contract risk and the robustness of the underlying code.
For crypto businesses operating in or from Singapore, MAS’s recent actions send a clear signal: geographic targeting of customers is no longer sufficient to avoid regulatory scrutiny. Entities with a material presence in Singapore are expected to either come within MAS’s licensing framework or structure their operations so that they are genuinely outside its jurisdiction-something that is becoming harder as regulators coordinate internationally.
The situation also highlights a broader tension in global crypto policy: decentralized, borderless protocols interacting with jurisdiction-based regulators. Hyperliquid’s emphasis on permissionless infrastructure illustrates how DeFi projects frame themselves as neutral technology rather than traditional financial intermediaries. Regulators, however, increasingly focus on the teams, foundations, and interfaces that enable real-world users to access those protocols.
For market participants, this means regulatory headlines may become a recurring feature around major DeFi platforms, especially those with large user bases and substantial value locked. While not every regulatory action leads to an immediate price reaction, repeated scrutiny can shape long-term sentiment, affect listings, and influence which platforms institutional players are willing to use.
At the same time, clear regulation-when proportionate and well-communicated-can eventually support more sustainable growth for digital asset markets. Many institutional investors are cautious about engaging with platforms that lack transparent legal status. A mature framework that distinguishes between compliant and non-compliant actors can, in the long run, foster deeper liquidity and more professional market participation.
For now, Hyperliquid remains fully operational, its team reiterates that nothing in its day-to-day functioning has changed, and MAS has not alleged any specific breach of law. The immediate impact is reputational and informational: investors are reminded that the exchange is not licensed in Singapore, and HYPE traders continue to watch the price chart for a decisive move out of its current technical pattern.