Concerns over Hyperliquid’s centralized control have emerged, prompting scrutiny from regulators and industry experts alike. While the platform boasts strong infrastructure capabilities supported by prominent backers like Paradigm and Pantera Capital, its limited validator nodes controlled by Hyper Foundation raise questions about decentralization. 24 validator nodes under this foundation’s control potentially grant them significant on-chain influence, impacting community trust and raising regulatory concerns. The platform’s minimal framework, along with the absence of formal regulations, further fuels these anxieties. Despite a recent price surge for HYPE token, market feedback reveals mixed responses, highlighting potential regulatory challenges but also acknowledging the foundation’s efforts to abstain from governance votes. Hyperliquid continues to advance despite its centralized structure, drawing investment due to its robust infrastructure capabilities. This raises questions about its future and aligns with historical decentralized exchange models facing similar scrutiny.