RIADeFi
Refusal file · other

Why Ketju rejected Hyperliquid Spot Orderbook

Memo v1Published by Ketju Research

A registry memo, published verbatim and versioned. Superseded versions are recorded, never edited away. A rejection is a judgment for Ketju's client base and thesis, not a universal safety claim. Not investment, legal, tax, or compliance advice.

The memo

REJECTED. The current Hyperliquid interface terms classify United States persons as Restricted Persons, which is a categorical bar for this US-advisor mandate. Spot trading also does not create protocol yield: the worklist TVL is inventory and balances held on HyperCore, with each token carrying issuer and market risk plus Hyperliquid validator, bridge, and order-book dependencies. Direct protocol calls or an alternate interface do not turn a restricted client into an eligible one.

What would reopen the file

  • Hyperliquid publishes terms permitting this registry's United States client population to use spot services
  • The exact spot asset receives an approved asset-control profile and its issuer and transfer restrictions remain eligible
  • A proposed-size native withdrawal completes through a documented bridge without an unreviewed third-party operator
  • Any validator intervention that changes a spot settlement or any bridge loss opens an immediate review

Facts on file

Verdict
Rejected
Exposure
other
Chains examined
Hyperliquid L1
Memo version
v1
Reviewed
Next review

← All published refusals