The past week has been like the October Liquidation Event but for upside.
Many assets are recovering from consistent drawdowns or going sideways. Assets like BTC touched $80k and are up 25% in the past week. Ethereum is up 30%, and Hyperliquid touched its all-time high.
This happened mainly because of the policy shift: the U.S. Treasury announced plans to double buybacks of long-dated bond instruments to manage yields, pushing the debasement trade and prompting investors to buy alternative assets. On top of this, President Trump met with prominent crypto figures at the White House, pushed Congress to fast-track the Clarity Act, and reaffirmed U.S. government plans for its digital asset strategic reserves.
After this, ETF inflows touched a week high since October 2025 as BTC saw a net inflow of $1.91 billion and ETH $692 million.
And there we had it, the prices surging all the way up:
Not only BTC and ETH caught the bid, but most assets which are aligned with their project’s growth grew as well. Also, in the White House, Trump said they are trying to get Hyperliquid in the U.S, which means we are getting permissioned perps soon, which is also the reason HYPE is touching its ATH. With AQAv2 this week, we can expect more from the asset.
In this week’s chronicle:
TradeXYZ got a new competitor, Entropy, which is already the second-largest HIP-3 deployer.
Coinbase Tokenised Equities launched on Base and will soon be utilised across the ecosystem.
Kinetiq is soon launching its own L2, Elysium, with HYPE as the gas token.
On our Radar: HyperEVM DEX activity, Ethena basis trade exposure, Fomo activity, and Lighter Robinhood instance.
TradeXYZ New Competitor
Entropy released its first two markets yesterday: SanDisk and Anthropic as a HIP-3 DEX. SNDK trades as a normal perpetual, while ANTH is a pre-IPO perpetual market. They are more or less launched as competitors to TradeXYZ, which commands over 97% of HIP-3 volume.
Both are gaining good volume, and in 24 hours, both have cumulatively generated over $50 million in volume.
As for the competition with TradeXYZ, Entropy is already the second-largest deployer by market share, and its SNDK market is already commanding 12% of the asset’s volume; the remainder is with TradeXYZ.
We believe this competition is necessary to keep the markets competitive, as TradeXYZ currently leads by a wide margin. Another interesting finding from Shaunda is that there may be some incentives coming up with Entropy.
Coinbase Tokenised Equities on Base
Coinbase tokenised equities went live on Base yesterday, which means the whole Base ecosystem will benefit.
It especially benefits primary DEXs like Aerodrome and lending protocols like Aave, which will launch specialised markets for stock-related lending and borrowing. This is great for Base as a chain as well because these assets bring liquidity, and stocks have embedded dividends and yields that would be exposed to the Base users as well.
@ethplantbaseeth on X also shared forward-looking speculation about how much tokenised stocks will move onchain and how that will translate into DEX trading volume. It largely depends on how much of the U.S. stock market goes onchain.
And since Base, as a chain, is actively involved in tokenising and has a whole ecosystem for further utilisation, it would be interesting to see how tokenised equities grow and get used on the chain.
Kinetiq is back with Elysium
As with any activity surge on HyperEVM, its low throughput leads to higher gas costs, which isn’t ideal for a blockchain and its users. Due to recent memecoin activity on the chain, the same situation occurred again, and gas costs rose.
To address this problem to some extent, Kinetiq (KNTQ) is launching Elysium, an L2 on Hyperliquid. It will use HYPE as a gas token and will still keep it as the centre of the activity. On top of this, this chain is a better arrangement for KNTQ holders and the builder, as sequencer fees are allocated to builders and KNTQ buybacks.
On our Radar
HyperEVM DEX Activity is rising as multiple memecoins have launched on the chain, and it’s averaging $300 million in daily volume.
Ethena increased its basis trade exposure to over $400m, up from just 2% to 10% of USDe backing. This could materially boost USDe yield.
Fomo touched its ATH weekly revenue last week of $3.39 million; its Hyperliquid builder code volume is also growing, with last week generating almost $500m in volume.
Since the point program started last week, Lighter Robinhood Perps volume has been rising and has generated $3b in cumulative volume so far. Additionally, with the recent market surge, LIT is above its TGE price at a market cap of $850 million.
While most tokens increased in value, some we are closely monitoring are: $LIT, $ENA, $XPL, $ETHFI and $SLC
Justin Sun is sending dust transactions to everyone who interacted with Coinbase, Binance, and Hyperliquid, as these exchanges followed EU and UK sanctions to blacklist anyone who interacted with HTX.
That’s the wrap.
Meet you next week.
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