WuBlockchain
Hyperliquid Labs co-founder and CEO Jeff Yan said Americans using a VPN to access the service violate its terms of service. Speaking on Bloomberg Podcasts on October 15, 2026, Yan said compliant U.S. access requires regulators to understand on-chain technology and assess whether it fits the CFTC's core principles.
Why it matters
The comments place regulatory compatibility at the center of Hyperliquid's U.S. expansion plans. Rather than treating on-chain markets as opaque by default, Yan argued that their verifiability can give regulators a clearer view of platform activity.
Market impact
Yan pointed to a specific transparency feature: anyone can verify that total user balances equal the USDC held at a given address. That type of independently checkable accounting could help regulators evaluate the benefits of on-chain derivatives infrastructure as they consider compliant market access.
Frequently asked questions
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What did Jeff Yan say about Americans using VPNs on Hyperliquid?
Yan said Americans using a VPN to access Hyperliquid violate the platform's terms of service.
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What must happen before Hyperliquid can offer compliant U.S. access?
Yan said regulators need to understand on-chain technology and determine whether it aligns with the CFTC's core principles.
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Why is the CFTC relevant to Hyperliquid's U.S. plans?
Yan framed the CFTC's core principles as part of the regulatory framework that would determine whether compliant U.S. access is possible.
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How can Hyperliquid users verify balances on-chain?
Yan said anyone can verify that total user balances equal the USDC held at a given address.
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Why could balance verification matter for regulators?
The independently checkable relationship between user balances and USDC reserves could help regulators recognize the benefits of on-chain technology.
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