Hyperliquid’s HYPE token is up 25% as traders on the perpetual futures exchange pile into silver, gold, and other commodities.

The exchange’s Silver to USDC market registered a whopping $1.2 billion in trading volume over the past 24 hours, making it the second most-traded asset after Bitcoin.

Hyperliquid investors view the surge in commodities trading as bullish because it gives the exchange more money to conduct token buybacks through the additional fees collected.

In October, the exchange started letting anyone create perpetual futures markets by locking up HYPE tokens. The fees generated by these markets are split half-and-half between Hyperliquid and the creator.

Hyperliquid is mandated to use the vast majority of the revenue generated through trading fees to buy back HYPE tokens on the open market through the protocol’s Assistance Fund.

The more trading fees Hyperliquid collects, the more money the protocol can allocate to buybacks.

While the impact of such buyback schemes on asset prices is debated, investors typically view them as bullish.

Debasement trade

While silver is the most traded commodity on Hyperliquid, it’s not the only one.

The most popular gold market on Hyperliquid has handled $131 million in trading volume over the same period, while markets for copper and natural gas have also registered tens of millions of dollars in trading volume.

The increased interest in commodities comes as traders bet on the so-called debasement trade: the idea that hard assets like gold and silver will outperform as inflationary monetary policies across the globe erode the value of national currencies such as the US dollar and Japanese yen.

Last year, gold jumped some 67%, marking its strongest annual gain in over 45 years. The yellow metal is off to a strong start this year, too. So far, it’s up approximately 18% and trades at around $5,088 per ounce.

Silver has performed even better. It registered a 145% return in 2025, and has rallied a further 53% this year to an all-time high of $117 per ounce.

Exploiting trends

Hyperliquid’s commodities trading success is another example of the exchange’s ability to capitalise on market trends.

Over the past year, the exchange received a boost from memecoin trading by quickly creating new markets for popular tokens.

Hyperliquid has also become a popular place for traders to speculate on the value of crypto tokens before they’re launched.

The exchange has generated thousands of dollars in fees by listing per-market trading for Plasma’s XPL, Monad’s MON, and Lighter’s LIT tokens.