[Digital Today reporter Chi-gyu Hwang] JPMorgan analysts said Hyperliquid's market share could come under pressure as regulated platforms gain ground in the United States and competition in prediction markets intensifies.

According to a recent report by The Block, JPMorgan analysts led by managing director Nikolaos Panigirtzoglou (니콜라오스 파니기르초글루) said in a report that a significant challenge is expected to decentralised platforms such as Hyperliquid. They added that it remains to be seen whether Hyperliquid will overtake the market capitalisation of other tokens such as Solana and XRP.

The first challenge is the growing number of crypto perpetual futures trading platforms operating under regulation in the United States. Decentralised platforms face concerns related to unlicensed derivatives trading and insufficient know-your-customer and anti-money-laundering controls, as well as market manipulation, attacks, oracle errors and weak consumer protection mechanisms.

Against this backdrop, the analysts said the launch of regulated crypto perpetual futures products in the United States could accelerate a shift of liquidity from offshore and decentralised exchanges to domestically regulated exchanges.

The second challenge is existing and new competitors in prediction markets. Hyperliquid is expanding into prediction-market products to increase platform activity, and after a pilot earlier this year, it launched the prediction-market contract "Outcomes" in May.