Network Design and Performance Targets

Hyperliquid’s ecosystem expanded on November 9 with the public mainnet launch of Elysium, its first dedicated Layer 2 network. Developed by liquid-staking protocol Kinetiq and operated with Conduit, Elysium functions as an Arbitrum Orbit rollup that settles transactions on HyperEVM, Hyperliquid’s Ethereum-compatible smart contract environment.

The network is engineered for high-frequency trading applications. It aims to produce blocks every 100 milliseconds and support up to 300 million gas units per second. These figures are stated architectural targets rather than independently verified sustained throughput on the live mainnet. The launch followed a public testnet period.

Hyperliquid currently operates HyperCore for spot and perpetual futures trading alongside HyperEVM. Elysium adds a separate high-speed execution layer intended for applications that require rapid and frequent transactions.

HYPE as Native Gas and Bridging

Unlike many Layer 2 networks that introduce a separate gas token, Elysium uses HYPE, Hyperliquid’s native token, to pay transaction fees. Users can bridge HYPE from HyperEVM to Elysium on a one-to-one basis without a wrapper token. HyperEVM ERC-20 assets can also move to the new network permissionlessly.

This setup extends HYPE’s existing roles in staking, governance and trading within the Hyperliquid system. Actual demand for the token as gas will depend on adoption and activity levels on Elysium.

Revenue Sharing for Builders and KNTQ

Elysium includes a revenue-sharing model for sequencer fees. Twenty-five percent of sequencer revenue is allocated to builders whose applications generate demand for blockspace. Developers may use their share for liquidity programs, user incentives or fee rebates. Another 25 percent covers operations. The remaining 50 percent is used to purchase Kinetiq’s KNTQ token, with the acquired tokens directed to the Hyperliquid Assistance Fund.

This structure sits alongside Hyperliquid’s existing token buyback mechanisms and is intended to support longer-term ecosystem development.

Planned Upgrades and Infrastructure

The November 9 deployment is the first phase. Kinetiq plans a major upgrade roughly four weeks later that will let smart contracts on Elysium read HyperCore market data and submit trading orders directly. Those capabilities could enable automated market makers, algorithmic strategies and other applications that rely on order-book information.

Dedicated infrastructure in Tokyo is also being prepared to improve data access for HyperCore users.

Related Activity and Broader Context

Alongside the launch, Hypesium, a Telegram trading bot built for Elysium, began promoting creator rewards. A Starlist campaign offers 1,500 USDT in cash prizes to the top 20 content creators and a combined 1 percent of the Hypesium token supply to participants ranked 21 through 100. Promotional materials describe features including first-block execution, deployer and ticker sniping, wallet tracking and automated exits.

Hyperliquid has attracted growing institutional attention. Plans are advancing for regulated futures infrastructure in the United States, and Intercontinental Exchange, operator of the New York Stock Exchange, has shown interest in the platform’s trading developments. Liquid-staking applications around HYPE continue to expand within the wider ecosystem.