Hyperliquid's First Layer 2, Elysium, Targets November 9 Launch With HYPE as Gas Token
Key Takeaways
- •Elysium, the first Layer 2 network built on Hyperliquid, is scheduled to go live on November 9, with full public mainnet activation still pending confirmation as of publication.
- •Developed by Kinetiq as an Arbitrum Orbit rollup settling on HyperEVM, Elysium targets 100-millisecond block production and up to 300 million gas units per second, though these are architectural goals rather than verified measurements.
- •Elysium will use Hyperliquid's native HYPE token for transaction fees, with users able to bridge HYPE from HyperEVM at a one-to-one ratio instead of introducing a separate gas token.
- •Kinetiq's announced revenue-sharing model allocates 25% of sequencer revenue to builders, 25% to operations, and 50% to KNTQ purchases directed toward Hyperliquid's Assistance Fund for HYPE buybacks.
- •A planned upgrade approximately four weeks after launch will enable smart contracts to access HyperCore market data and submit orders directly, alongside newly announced dedicated infrastructure in Tokyo.
Elysium, the first Layer 2 network built on top of Hyperliquid, is scheduled to go live on November 9, marking a new stage in Hyperliquid's infrastructure expansion. As of publication, confirmation that the public mainnet has been fully activated remains pending, following several weeks of public testnet development.
According to Kinetiq's official announcements, Elysium is built as an Arbitrum Orbit rollup — a framework for deploying dedicated chains — that settles transactions on HyperEVM, Hyperliquid's Ethereum-compatible smart contract environment. In a rollup structure, a network processes transactions on its own chain while settling them to the layer beneath it, the design that lets Elysium extend Hyperliquid's stack rather than operate independently of it.
Elysium Targets 100-Millisecond Block Production
Elysium is designed to produce a block every 100 milliseconds, a cadence intended to provide more frequent execution than the standard block intervals available through HyperEVM. Its published technical specifications also set a target capacity of up to 300 million gas units per second.
These figures represent architectural targets, however, rather than independently verified measurements of sustained transaction throughput on a live mainnet.
Hyperliquid currently operates two main infrastructure components: HyperCore, which supports spot and perpetual futures trading, and HyperEVM, which provides an Ethereum-compatible environment for smart contracts. Elysium adds another execution layer intended for applications that require more frequent transaction processing.
The expansion comes amid growing institutional interest in the Hyperliquid ecosystem, including plans to introduce regulated futures infrastructure in the United States.
HYPE Will Pay Transaction Fees on Elysium
Rather than introducing a separate gas token, Elysium will use HYPE — Hyperliquid's native token — to pay transaction fees. Users will be able to bridge HYPE from HyperEVM to Elysium at a one-to-one ratio, allowing the same cryptocurrency to support activity across both environments.
This arrangement could extend HYPE's utility beyond its existing roles in staking, governance and Hyperliquid's trading ecosystem. Greater network usage, however, does not necessarily mean the token's market price will rise, and any economic impact will depend on actual adoption and transaction activity.
Kinetiq has also outlined a revenue-sharing structure intended to reward developers and support network operations. Under the announced model, 25% of sequencer revenue will go to builders generating activity on the network, while another 25% will fund operations. The remaining 50% is allocated to purchases of Kinetiq's KNTQ token, with the purchased tokens then directed to Hyperliquid's Assistance Fund — the ecosystem's on-chain vehicle for accumulating HYPE buybacks — creating a separate revenue allocation mechanism alongside the ecosystem's existing token-buyback arrangements.
HyperCore Trading Features Planned for a Later Upgrade
The initial November 9 deployment is only the first phase of Elysium's development. Kinetiq plans another upgrade approximately four weeks later to introduce direct connections between smart contracts and HyperCore.
The planned functionality would allow contracts to access HyperCore market data and submit orders directly, which could support automated market makers, algorithmic trading strategies and other applications that require access to order-book information.
Kinetiq has also announced dedicated infrastructure in Tokyo intended to improve access to HyperCore data.
The developments follow the expansion of Hyperliquid's trading activity, which has drawn attention from Intercontinental Exchange, the owner of the New York Stock Exchange. Meanwhile, applications built around staked HYPE assets continue to develop within Hyperliquid's liquid-staking ecosystem. With mainnet activation still awaiting confirmation and the HyperCore connectivity upgrade roughly a month out, the rollout has two near-term milestones for tracking how Elysium takes shape.
Source: coinpaper. Original reporting by Ethan Collins, via Hokanews.
