Hyperliquid, a decentralized exchange on its own Layer 1 blockchain, faced a major API outage that disrupted trading and cost users 3.75%. Here’s how the platform is responding with automated refunds.
What Caused the Hyperliquid API Outage?
The outage occurred due to a sudden spike in traffic, not a security breach. Key details:
- Duration: 30 minutes (14:10–14:47 UTC)
- Impact: Order execution delays, price discrepancies
- Blockchain operations remained unaffected
How Hyperliquid is Handling Refunds
The platform announced automated refunds to affected users. No manual claims are required. The compensation methodology will be shared soon.
Impact on Hyperliquid’s Native Token (HYPE)
The outage caused a 3.75% drop in HYPE’s value, with slight declines persisting afterward.
Lessons for DeFi Infrastructure
This incident highlights the need for robust API systems and clear communication in decentralized exchanges.
FAQs
Q: Was user data compromised during the outage?
A: No, the issue was traffic-related, not a security breach.
Q: How will refunds be calculated?
A: Hyperliquid will share the methodology in an upcoming update.
Q: Did the blockchain stop working during the outage?
A: No, core blockchain operations continued unaffected.
Q: When will refunds be processed?
A: The platform has not specified a timeline yet.
