Singapore-based crypto exchange Hyperliquid is under scrutiny for its centralized governance structure, which has raised concerns about its level of decentralization. The platform, supported by Paradigm and Pantera Capital, operates with only 24 validator nodes, all controlled by the Hyper Foundation. This limited decentralization has attracted regulatory attention, particularly due to the absence of identity verification for users. Critics point out that the Hyper Foundation's control over nearly two-thirds of staked HYPE tokens poses a significant vulnerability. The HYPE token has experienced a 5.13% drop in the past 24 hours and a 37.46% decline over the last 30 days, reflecting market apprehensions as of October 17, 2025.