The UK's Financial Conduct Authority (FCA) has listed Hyperliquid and Hyper Foundation as unauthorized entities, warning they may be offering financial services without permission. The notice, issued on May 21, gained prominence this week. Separately, CME Group CEO Terry Duffy called crypto perpetual futures a 'disaster waiting to happen,' criticizing U.S. regulators for approving similar products. Hyperliquid, a major decentralized perps venue, generated $255 million in revenue year-to-date by May 20, with its HYPE token surging 101%. Industry observers note that regulators are divided: the UK cracks down on offshore venues while the U.S. allows supervised products. The key concern is whether liquidation systems and margin rules can withstand market volatility.

Key facts

• UK FCA warns Hyperliquid may be offering financial services without authorization.
• CME CEO Terry Duffy calls crypto perps a 'disaster waiting to happen'.
• Hyperliquid generated $255 million in year-to-date revenue by May 20.
• U.S. CFTC approved Kalshi to offer Bitcoin perpetual futures.
• Regulators divided: UK flags offshore venues, US allows supervised perps.