Hyperliquid, Will It Surpass Solana? Who Will Be the Winner of 'Bitcoin 3.0'?

▲ Hyperliquid (HYPE), USD/ChatGPT generated image ©

Hyperliquid is emerging as a key player in the 'Bitcoin 3.0' race, putting pressure on Solana with its focus on speed and user experience.

According to crypto media Bitcoinist on April 29 (local time), Justin Bons, founder of Cyber Capital, Europe's first cryptocurrency fund, assessed the competition between Hyperliquid (HYPE) and Solana (SOL) by stating, "Structural differences hidden in the details determine the outcome."

Bons emphasized that Hyperliquid's competitiveness lies not in mere performance but in product completeness. He analyzed that it has an advantage over competing platforms, including Solana, in terms of trading experience, and its ability to maintain a top position in fee revenue also stems from this execution capability. Solana, on the other hand, is pursuing a strategy to narrow the performance and user experience gap through upgrades such as Alpenglow and MCP.

Hyperliquid has rapidly dominated the market by focusing on perpetual futures trading and Real World Assets (RWA). Bons pointed out that the platform's growth in specific areas without competition is also noteworthy. However, he noted that the current structure is a transitional model that has not yet reached full decentralization, and its future evolution is identified as a key variable.

The core of the debate is the 'latency speed competition.' Hyperliquid has secured high processing speeds due to its structure where 24 validator nodes are concentrated in a single data center in Tokyo, but this is also criticized as extreme centralization. Bons explained that this structure is a result of the market's 'preference for speed' and evaluated that both platforms are moving towards simultaneously achieving low latency and decentralization.

Another point of contention is the transaction processing method. Hyperliquid uses a structure where orders are not immediately recorded on-chain but are matched in a memory pool before being reflected in a block. While this method improves user experience, it differs from full on-chain processing. However, the project is pursuing gradual decentralization through code open-sourcing, transition to on-chain transactions, and expansion of global validators. Bons suggested that the winner of this competition is likely to establish itself as the next-generation standard, the so-called 'Bitcoin 3.0'.

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