Hyperliquid opens $28M D.C. policy center for DeFi rules

Hyperliquid Policy Center launches in D.C. to shape U.S. DeFi rules

Hyperliquid has opened the Hyperliquid Policy Center in Washington, D.C., appointing prominent crypto lawyer Jake Chervinsky as its first CEO, as reported by Decrypt. The new shop aims to influence how decentralized finance is governed in the United States.

A D.C. presence positions the group in ongoing debates over market structure and derivatives oversight that involve agencies such as the Commodity Futures Trading Commission (CFTC). The center’s focus is on decentralized, non-custodial systems where traditional intermediary-based rules may not cleanly apply.

Why it matters: perps framework, $28M backing, Chervinsky’s leadership

The initiative is backed by a $28 million donation and lists a legal pathway for “perpetual derivatives” among its top priorities, as reported by Fortune. Perpetuals are derivative contracts common in crypto markets that typically do not expire and are maintained through periodic funding payments, making them operationally distinct from listed futures or options.

Supporters argue that clarifying how perps can be offered in a compliant, non-custodial manner could reduce risk and enable onshore market transparency. “An independent research and advocacy organization” aimed at ensuring DeFi can flourish in the United States, said Jake Chervinsky, CEO of the Hyperliquid Policy Center.

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Mission and policy priorities: legal pathway for perpetual derivatives

Developing a legal pathway for perps may require clarifying how decentralized venues interface with U.S. derivatives law, including questions of registration scope, market surveillance, and non-intermediated execution under commodities statutes. Any framework would likely need to delineate responsibilities in systems where matching, margining, and liquidation are automated, and where no single entity has custody of user assets.

The center’s credibility will also be tested against industry criticisms about Hyperliquid’s design choices. Kyle Samani has argued the project’s closed-source codebase and permissioned validator set conflict with decentralization principles and could enable illicit activity, according to CCN.

From a validator perspective, concerns have included limited transparency and external validator inclusion, with some operators indicating they lack visibility into core mechanics, as reported by CoinDesk. These debates could shape how policymakers assess decentralization and operational resilience when considering any perps-focused rulemaking.

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