Hyperliquid, a leader in the decentralized derivatives space, is officially expanding its ecosystem beyond perpetual futures. On February 2, 2026, the platform unveiled HIP-4 (Hyperliquid Improvement Proposal 4), introducing a new primitive called "Outcomes."

This move signals Hyperliquid's intent to compete directly with giants like Polymarket and Kalshi in the rapidly growing trillion-dollar prediction market sector.

Key Highlights of the HIP-4 Proposal:

• The "Outcomes" Framework: Unlike traditional leveraged perpetuals, "Outcomes" are fully collateralized contracts that settle within a predefined range. This eliminates the risk of forced liquidations, making them safer for long-term event-based trading.

• Non-Linear Trading: The proposal introduces non-linear payoff structures. This allows developers to build more than just simple "Yes/No" markets, opening the door for complex instruments like bounded options and sophisticated hedging tools.

• Deep Integration: The feature is built directly into Hyperliquid’s native L1 blockchain, HyperCore, and will be priced in its native stablecoin, USDH. This ensures high performance and shared liquidity across the entire platform.

• Testnet Launch: "Outcomes" are currently live on the testnet. The team plans a phased rollout to the mainnet, starting with "Canonical Markets" based on objective data sources before moving toward permissionless deployment.

Market Reaction:

Following the announcement, Hyperliquid’s native token, HYPE, saw a significant surge, jumping over 14% to trade above the $30 mark. This rally stands in stark contrast to the broader crypto market, which has seen major assets like Bitcoin and Ethereum face downward pressure recently.

By leveraging its high-performance infrastructure and lean development team, Hyperliquid is positioning itself to redefine prediction markets not just as social betting tools, but as core financial primitives.