On Tuesday, decentralized exchange Hyperliquid halted order execution for 37 minutes due to an overload of its API servers. The project team confirmed that the incident was triggered by a sharp spike in traffic and not by a hack or system vulnerability.
What Happened
Users began reporting issues with order execution around 14:10 UTC. At the time, Hyperliquid’s official status page did not reflect any outage, but the project’s representatives promptly informed users in Discord that the situation was being investigated. By 14:47 UTC, order execution had resumed in real time.
The Cause
Later, Hyperliquid’s status page confirmed a “major incident”: during the reported timeframe, orders were delayed due to an overload of the API servers. The system failed to handle the sudden surge in activity. According to the team, no external attack was detected.
A Hyperliquid representative on Discord reiterated this explanation, also clarifying discrepancies in prices. During the outage, many traders were unable to close their positions, which led to localized pricing distortions.
Stabilization Measures and Market Reaction
The project team announced that additional protective layers will soon be implemented within the exchange’s technical architecture. These measures aim to detect similar failures more quickly and reduce the impact on users.
Following the incident, the HYPE token dropped 4,68% over the past 24 hours, falling to $42.94.
