XBorg Improvement Proposal #20: Hyperliquid Listing

Rationale

This XBorg Improvement Proposal suggests listing XBG on Hyperliquid’s spot market. Hyperliquid is recognised as the leading on-chain exchange with significant growth metrics and industry presence. By listing on Hyperliquid, we aim to increase XBG's trading volume and exposure to a new audience of investors.

About Hyperliquid

• Unique users: 257,968
• Total lifetime volume: $517,685,854,254
• Fastest growth rate among on-chain derivatives exchanges (source).
• Statistics dashboard: Hyperliquid Stats.

Cost & Auction Process

Listing on Hyperliquid is done via an auction mechanism. Here's how it works:

• Auction Process Overview
• Hyperliquid Docs: HIP-1

Recently, two gaming tokens have successfully secured listing slots on Hyperliquid:

• GOD (Infinigods): for $975,746.80
• MON (Mon Protocol): for $487,936.86

We propose allocating a budget within this range to participate in the auction process and acquire the XBG ticker for spot listing. Spot listings are limited to 282 annually, making them scarce and non-dilutive. The exact budget will not be disclosed publicly as part of the bidding strategy.

Timeline

We plan to bid every 31 hours until the auction price aligns with our budget. Based on current trends, we expect the opportunity to secure the XBG ticker in Q1 2025. Once successful, we will bridge XBG to Hyperliquid, providing another trading market alongside Arbitrum and Solana.

Pros

1. Increased Trading Volume - We estimate our average daily trading volume to increase from $1M to $2M. Higher trading volume will ease future exchange listing negotiations.
2. Enhanced Exposure - Tap into a new audience interested in on-chain derivatives, boosting XBG’s visibility.
3. No Market Maker Requirement - XBorg’s internal team can provide sufficient market-making support.

Cons

1. High Initial Cost - There’s a budget required to secure the listing.
2. Ecosystem Risk - Hyperliquid’s L1 is a new ecosystem with inherent risks (source).

Non-Exclusivity

Listing XBG on Hyperliquid’s spot market does not negatively affect future XBG listings on Tier 1 exchanges. This strategy is designed to supplement our broader goal of increasing token distribution.

Next Steps

If accepted, we will:

• Monitor auction progress via Hyperscan Auctions under the auction tab.
• Begin bidding within the next 31-hour cycle, targeting a Q1 2025 listing.
• Implement a bridge for XBG <> Hyperliquid.

If rejected, we will consult our community to discuss the raised concerns and adjust or abandon the proposal accordingly.