Hyperliquid Farming Guide [MASSIVE Airdrop & Yields]

All right, I think it's time that I made a full-length video on Hyperliquid and their new Hyper EVM ecosystem because there is a major opportunity here to make some money from future airdrops. Now, of course, the big part of this is going to be focused on an airdrop of hype itself, but when we get into the Hyper EVM side of things, there's also plenty of other potential airdrop farms and we can hit multiple targets with the same pool of capital here. Now, Hyperliquid has allocated over 30% of their total token supply and there's still a lot left to be distributed. In the first round of their airdrop, some people made six to seven figures. For example, CC2, one of the greatest to ever do it, walked away with well over seven figures from the hype airdrop in round one. Now, honestly, if we're being realistic, I do not expect airdrops in the future to replicate that exactly. I just don't think it's reasonable to have those kinds of high expectations. Now, that being said, the valuation of the hype token is obviously doing incredibly well and since they have such a massive supply still allocated to future airdrops as well as launching a new blockchain and a brand new ecosystem with multiple airdrop targets, I would say even if this isn't going to be necessarily a seven-figure airdrop, there's huge potential here. A lot of people have been talking about it, but it's time for me to make a video. Now, I'm going to give a huge shout out to Pix on X because he, or I guess technically could be a she, has outlined a pretty interesting strategy for farming and talks about a number of the best airdrop targets. So, I'm going to use some of the information from this as well as some other stuff to talk about some of the ways that you can actually farm this moving forward. Now, when it comes to farming this airdrop, I would say there's three buckets of things that you want to focus on. The first one is going to be actually still just trading on the hyperliquid perps platform. I think it's highly likely that there's going to be a significant focus on trading for future rounds of the airdrop because realistically, that's where hyperliquid makes most of their fees. That's where the money comes for the buybacks of the hype token. And so, yeah, you can't fade this part of it. It definitely makes sense to try and move some volume when you can. Now, on that side of things, what you need to do to get started is to simply sign up for hyperliquid, deposit some collateral, USDC is a good option, and then start making trades. Now, if you're like myself and you're actually not a good trader, then realistically, the strategy would be just to try to move volume, open and close positions without exposing yourself to huge risk, just to get that volume. And then also, if you want to take this to the next level, you can hedge positions on different platforms that also have airdrop campaigns. So, for example, you can open a long position on hyperliquid and then open a short position on the same asset on Avantis or lighter other perp dexes where, you know, you'll balance out your risk and you can actually farm multiple airdrops at the same time. The more leverage that you use, the more volume you can get, but then also the greater the risk is because even tiny movements in price could dramatically impact the size of your portfolio. So, you have to be careful with this for sure. You have to understand what you're doing and do your own research before you start aping huge amounts of money into this. However, the more volume that you can move on the hyperliquid perp dex, the better off you will certainly be for future rounds of this airdrop. So, that's the first part of this and, in my opinion, probably still one of the most important things. Now, the second thing that you can do, and this is actually a lot simpler, is to simply stake some hype tokens. You can do hype staking natively in the app and just select one of these different validators to delegate your assets to, or, as we'll talk about in a little bit, you can do liquid staking on the hyper EVM. I would suggest that maybe doing both of these is a solid thing to do and this one is not very complicated. It's just sort of a set and forget type of thing. Now, for the first round of the hyperliquid airdrop, I didn't actually use this wallet. I got my hype airdrop on another wallet that is not duxed. But, for the purposes of this tutorial, let's say that I want to actually buy some hype and stake it. So, what you would want to do is go over to the trade section, search for hype, and then select the spot asset. This is where you can actually buy hype tokens and then stake them because if you do the perps option, you're just trading on leverage and you wouldn't actually be able to stake tokens that you buy that way. Now, in order to buy hype tokens on spot, you're going to need to have some assets to trade. I do have some assets in my perps account. So, let's say if I move $50 from perps to spot, I can just confirm this transaction in the wallet here and then immediately it's ready to trade and I can buy some hype with that. So, let's go ahead and place that order. Okay, super quick. Everything's great on this platform. Incredibly fast, like lightning speed. So, once you have some hype tokens, go over to the staking tab, click transfer from spot to staking balance. So, there's a few clicks that you need to do in order to get through here. So, once I transfer the tokens over to my staking balance, then I can click stake tokens, select the maximum amount, and choose a validator. It's possible that the validator that you choose could lead to future rewards, but since this is such a small amount of hype that I'm staking in this just for the tutorial here, I don't think it really matters. I'll just select the Nansen and Hyper Collective address and then click stake my tokens and confirm in the wallet. So, there you go. I now have one stake position for 1.5-ish hype tokens. Now, another thing that I'm not really going to focus on much here is vaults. This is something where basically you capture the yield from people trading on the platform. There's actually a pretty solid APR on this, so you can make a deposit into the HLP vault and earn currently 13.66% yield. This figure changes depending on the trades placed on the platform and how much revenue is coming in. This is definitely a solid way to earn some linear yield. However, there is so much money posited in this, over $361 million, that if you're using a small amount of capital, you're probably not going to actually capture that much yield. And I'm not so certain that this will be one of the major factors for future rounds of the airdrop. It's possible that it could be, and so I'm going to go ahead and make a small deposit just to sort of tick the box, but I realistically don't think that this is going to be a huge factor. Anyways, there we go. I've got $100 in the HLP vault. I've staked a tiny bit of hype, and I've been placing some trades on the Hyperliquid Perp Dex over the past several months with this wallet. So, realistically, that's all the stuff you're going to want to do with the Hyperliquid app itself. Currently, they don't have a point system running. Previously, they did, and this page has just kind of been blank since the airdrop occurred last year, but we don't know. For some reason, it still exists, and that leads people to believe that maybe they will revive the point system or in some way that will come back. So, aside from the Hyperliquid Perp Dex platform, the other thing that you're really going to want to focus on, and this is where I think you can make some serious outsized returns if you're smart about it, is the Hyper EVM, and this is the type of stuff that PIX on Chain has been talking about. So, let's break it down and walk through some of the things that you're going to want to do. So, for starters, obviously, the first thing that you need is to get some assets onto the Hyper EVM via a bridge. There's a number of different options. There's three here that were listed by PIX, but also another one that I definitely recommend is the Hyperliquid Bridge from Layer Zero, and there's actually some solid airdrop Legos in this because Athena Finance and Layer Zero have kind of banded together and integrated with Hyperliquid, and so now you can actually use Athena Finance's USD stablecoin on the Hyperliquid EVM, farm Athena Finance future rounds of the airdrop, farm Layer Zero future rounds of the airdrop, and farm Hyperliquid as well. I love these types of multiple airdrop targets. So, something that I'm going to do right now is bridge $500 worth of USD from Ethereum to the Hyper EVM using this bridge. Gas fees are a little bit expensive right now on Hyperliquid, but since I started recording the tutorial right now, I'm just going to eat those and submit the transaction. And actually, this leads me to this website right here, which was actually created by a buddy of mine, and this allows you to track how much transactions will cost on Hyperliquid, and this website is called Hypergas. So, you can see right here that GUI for transactions is actually quite high, especially relative to other Layer 2s or even ETH mainnet right now because there is so much demand for the Hyper EVM and using the blockchain right now. So, this website is definitely a good tool to bookmark. Aside from the cost to make transactions, it also shows you the price of the HYPE token and some of the top dApps in the ecosystem. So, this is a useful resource for sure. Shout out to Manny for creating this. All right, so while I'm waiting for this bridge transaction of my USD to Hyper EVM, let's talk about some other ways you can get assets on-chain. Hyperunit is another one where you can deposit Bitcoin, ETH, Solana, and Farcoin directly to the Hyper EVM. Or sorry, this will actually go to HyperCore in your Hyperliquid wallet. So, actually, the other day I used this to deposit some Solana, and you can see in my portfolio here, I've got some Sol. So, this is another potential target. And then when you do a deposit like that, if you go to your portfolio balances, it will show up in the spot category. So, I've got 0.39 Sol in Hyperliquid spot. Now, from here, if you want to transfer it to the EVM, you can click this button, transfer to EVM, select the amount, and then confirm the transaction. So, let's just go ahead and do that and get that Sol on the Hyper EVM. Another way that you can get assets onto the Hyper EVM is Hyperswap. I did this as well. And you are going to need to have some hype tokens in order to pay for transaction. So, yeah, what you do here is select the chain that you want to send assets from as well as the asset. So, let's say USDC on base, and then choose what to receive. I will choose to receive some more hype, even though I've got a little bit in there already. So, let's say that I want to send, you know, just $26 and buy some hype with that. The process is quite simple. Of course, there will be fees for doing all of these, but I'm willing to eat that for the purposes of farming this airdrop. Oh, and by the way, Hyperswap does have a point system. So, you're definitely going to want to go to this page here and sign up for that point system. Now, once you've bridged some assets to the Hyper EVM, you're going to want to add it to your wallet. Depending on what wallet you have, it will probably just add automatically, especially if you go to, for example, Hyperswap and then try to make a swap. Whenever you try to make a transaction, it will just pop up in your wallet and remind you to add that network. So, we have the Hyper EVM network. We have some hype tokens in the wallet to pay for transactions. And actually, I made a swap of some USDC into USDT0, which is another stablecoin on Hype. So, yeah, here we go. I've got this. Now, what I'm going to do when my bridge transaction of USDE from Athena comes through is set up a liquidity pool and deposit these assets into either Hyperswap or Curve. There's a few different options where you can earn yield and earn points for multiple airdrops as well. Actually, yeah, that transaction just went through. So, let's go back to that. Athena Finance has listed this long blog post talking about the different opportunities to earn yield on Hyperliquid with their stablecoin. And I'm going to check out the options on Curve Finance since they've deployed as well. So, by using this with USDE, we are going to earn LP swap fees, but also 30x Athena points as well as potentially Hyperliquid future rounds with their airdrop. So, we're going to go to Curve and we're going to search for Hype. And this is where we're going to make a deposit of that USDE. So, since I have some USDT and USDE, this is the pool I'm going to target. But depending on which assets you have, there's different options for providing liquidity. But I'm going to choose this one down here. And I'm going to deposit $100 each of these two assets into the liquidity pool. Then, the next step is to simply approve the transaction and make the deposit. Now, providing liquidity on stablecoin pairs is lower risk since there is not going to be something called impermanent loss where the price of these tokens diverges. But if you're providing liquidity on, for example, a meme coin and a stablecoin, you really have to be careful there and know what you're doing. Probably going to want to bookmark all these pages where you make deposits. There is actually a portfolio tracker on D-Bank that will show you, you know, the assets that you have and deposits even within DeFi. So, that's solid. But you never want to forget where you're leaving your assets. All right, next up, let's talk about Hyperbeat. Now, this is a multi-use dApp. You can deposit and borrow. So, it's a money market where you can lend out assets and then borrow against the value of them. But you can also liquid stake hype directly with Hyperbeat. And I think this is something that you're probably going to want to do, at least a small amount, just to sort of tick that box. So, let's say I want to liquid stake one hype token here. It's a very simple process. Simply navigate to the staking tab and then click stake, confirm the transaction in your wallet. Okay, that's done. Now, I have some sthype. By the way, Hyperbeat also has, similar to D-Bank, a portfolio tracker. However, it doesn't recognize all DeFi integration. So, for example, the LP pool that I just did on Curve isn't showing up here. So, I do think that D-Bank is actually slightly better for that. So, the earn section of Hyperbeat is going to give yield on these different assets depending on the vault strategies. I just made a deposit of 86 USDT into the Hyperbeat USDT vault, which has a 25% APY. You can see the various different strategies that they're deploying here. Some of these are risky. There's risks of smart contract risk as well as liquidity providing risk and permanent loss. And if you want to make a withdrawal from the vault, then it takes 48 hours. Otherwise, you pay a 0.5% early withdrawal fee. But it has a solid APY, decent TVL right now. And so, I made a small deposit into that vault there. Then, if we look at the money market side of things, the borrow, there's a few different interesting strategies here. So, for example, I could deposit a staked hype, borrow hype, and then loop that to stake as much hype as possible, which can help you leverage up and increase your exposure to these airdrops. Although, you will pay a borrow APY, depending on what the asset is. Also, some of these pools or strategies here have very low liquidity. So, be careful with this. So, that is Hyperbeat. And they do have a point system, which I don't have any right now because I literally just started doing stuff. But this is another potential airdrop target here as well. Okay, next up, something that you might consider, although I personally am going to fade, is a Hyperliquid or a .HL domain name. This is the type of thing that has a relatively high upfront cost. The minimum bid is 1Hype, which currently costs around $34 to buy one of these domain names. In the past, I probably would have done it. But right now, I'm kind of skeptical that it's really going to matter. However, if you want to sort of tick every single box, minting one of these or really starting an auction and then bidding on your own name is something that you can do. Probably, you won't have other people bid on your name unless it's something that's quite common. But you do have to wait for the auction to finish before you can actually win that name. Okay, next up, another money market that you might consider interacting with is HyperFive. On this one, you can actually choose and sort of customize what you're depositing and what you're borrowing. And this is potentially interesting because you can loop some Hype and Staked Hype. So for example, I could deposit Staked Hype, borrow some Wrap Type against that, then go back over to HyperBeat, stake some more and repeat the process. So let's actually go ahead and try this out. I'm going to keep my LTV relatively reasonable. Although these are correlated assets, so as long as there's no DPEG, there shouldn't be a major risk of liquidation. And the Borrow APY for Wrap Type is quite low. So the carrying cost of this trade is not very high. So let's go ahead and open up this position here. By the way, I'm doing this probably at one of the worst possible times because transaction fees on the HyperEVM are super high. So each time I make one of these transactions, it's costing me, you know, sometimes 20, 30, 40 cents depending on the transaction. Okay, so I opened up that position. Then if I go back over to HyperBeat and navigate to the Staking tab, I can stake some more Hype. So let's say I stake 0.3 and then go back over to Hyper5 and then make another deposit and borrow more Wrap Type. So you can repeat this as many times as you like until you run out of Health Factor, until you run out of LTV. This is a type of strategy that I've deployed previously, especially when I was farming, restaking airdrops to lever up on correlated assets and increase exposure to airdrops. So let's just do this one final deposit here and move on to the next stage. Now, I just did that whole process manually. And if you're not interested in doing that, you can actually just use looped hype, which automates it for you. There's some pros and cons for each strategy. The first way, the one that I just walked you through, actually gets you more transactions on the HyperEVM, spends more money in gas fees, and sort of increases your surface area. So I would say that there's some benefits to doing it manually. Also, you have more control over it. However, this is easier and it's just like a one-click process because looped hype actually automates that leverage for you. So if I wanted to do something like that with loop type, for example, I would just go to the dab here, select how much that I want to stake and lever up. And if we look at the breakdown here, the looping multiplier is 2.65. So you're getting basically that level of leverage on your initial deposit, depending on what that is. So up to you if you want to use this or which one that you want to use. If you go for the loop version, you're going to end up with the token in your wallet that's called LHYPE, which represents that position, that leverage position in hype. Either one I think is a solid option. By the way, in this thread from Pix, he has some specific strategies that he's talking about where he's also doing something similar, leveraging up on staked hype and hype and repeating the process. Although he is also hedging with a short on the Hyperliquid Perps platform. Something that's interesting that you could consider doing if you're making a long position and using a money market like this, then using the same Perpdex Hyperliquid, you could actually hedge that, earn additional points, earn yield from that, and then if the price of hype goes down, you have some protection. Okay, I'm kind of going to breathe through the last few ones. There's other, there's tons of other dabs. This first website that has showed you Hypergas shows you a list of some ones that you might want to check out. I'm not going to mention every single one of them. Hyperlend is another money market where you can do this same type of thing, deposit and lend. A lot of the deposit caps here have already been reached, unfortunately. Hopefully they raise those soon. Otherwise, I would make a deposit of USD here to just increase the surface area here because every interaction with a different application increases the likelihood of us getting multiple airdrops using this strategy. These guys also have a point system. So yeah, I would suggest monitoring here because making a deposit of USD would be great right now if they didn't already have a supply cap that was reached. Now, aside from that, one other thing that I'll mention is that there are, of course, NFTs in the Hyperliquid ecosystem. This app right here, drip.trade, is the main NFT marketplace where you can trade these NFTs. The denomination of these is in the HYPE token. Wealthy HYPEYOBABIES is a super expensive collection at this point. I think it's like close to $10,000. However, these ones are sort of the premier NFT collection of the ecosystem. They've been receiving a bunch of airdrops already. One of these NFTs has received, I think, $5,000 or more in airdrops. But buying one of these is a pretty expensive proposition right now. And you can actually just experiment a little bit, check out different collections, maybe find something that's cheap. And so let's just actually sort the collections by the lowest price and I'll buy the cheapest NFT that I can find here, distoMFers. So let's go ahead and buy this NFT so that I can tick that box that I've interacted with this platform. Success. Token is purchased. So now if I go to my portfolio, I can see my Hyperliquid NFT. And if I go over here, yeah, maybe I'll get some points for that once they update the page. Now, I'm going to throw links to all of this research down below, including this article from Pix. If you want to follow his strategy, he's actually using a specific strategy to long hype on HyperEVM and then short it on the perp decks to remain delta neutral. So if you want to check that out, that's definitely an interesting option. Another thing that I want to mention is that you do have to be careful. There could be scams in new ecosystems. There's already been people trying to take over the X account of Hyperliquid multiple times. And certain projects on Hyperliquid have had some allegations that potentially they come from somewhat sketchy pasts. So you have to be careful. Do your own research, do your own due diligence, and make sure that you understand that there is a high level of risk with all of this stuff. Hopefully you found this tutorial, this walkthrough helpful. Thanks so much for watching, and have a great day.