Former co-founder of Multicoin Capital, Kyle Samani, has sparked controversy by publicly criticizing the decentralized derivatives protocol Hyperliquid, calling the project “everything wrong with cryptocurrency.” In a series of social media comments, Samani accused Hyperliquid of operating as a closed, permissioned, and non-transparent model, and argued that this structure could facilitate illegal activities and market manipulation.
His statement quickly drew strong reactions from the crypto community, with many traders and developers claiming that the assessment lacked technical basis and was personally attacking. Famous trader Cobie even mocked Samani as a “clown” when he issued the criticism just days after announcing a temporary departure from the crypto space.
This debate has sparked broader discussions about transparency, decentralization, and the risks of centralization in on-chain trading platforms, especially as decentralized derivatives exchanges continue to attract significant capital flows.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
