trade.xyz has incorporated prediction markets into its Hyperliquid trading platform through the launch of Events, allowing users to trade contracts tied to prices, interest rates and scores without moving to a separate prediction-market venue.

The launch was announced on Thursday. trade.xyz already operates one of the largest perpetual-trading businesses on the network, giving Events an established base of cryptocurrency traders rather than requiring the platform to build an audience from scratch. Coin Metrics has described trade.xyz as Hyperliquid’s leading HIP-3 developer by opportunity trading and volume. Coin Metrics analysis

Events operates through HIP-4

Events is built on Hyperliquid Improvement Proposal 4, or HIP-4, which permits fully collateralized outcome contracts to be added to HyperCore. trade.xyz is deploying the markets under the venue name txyz. Hyperliquid’s HIP-4 documentation

Each market uses a validator-approved template. The deployer selects the permitted parameters and must publish the methodology that will be used to resolve the outcome. In announcing Events, trade.xyz linked the launch to its stated “vision of Hyperliquid as the universal exchange.” The company’s approach places prediction markets within Hyperliquid’s broader trading product rather than operating them as a separate gambling venue. trade.xyz announcement

Launch costs are currently limited. According to trade.xyz’s fee documentation, deployerFeeScale is set to zero, meaning the company is not charging an additional deployer fee. Standard Hyperliquid fees for outcome trading still apply.

Settlement and oracle risks

HIP-4 outcome contracts are fully collateralized, so they do not require leverage, funding payments or liquidations. In a binary market, Yes and No positions use the same economic order book: buying Yes at price p is equivalent to selling No at 1-p. trade.xyz’s event-contract documentation

Settlement is the central issue. Under trade.xyz’s process, the published methodology first determines the result using the declared data source. The result is then uploaded to HyperCore by the txyz deployer or the designated settlement address. The data source itself does not perform the settlement. Resolution documentation

Daily Up/Down markets use a five-minute average derived from Hyperliquid candle data. The initial sports markets use ESPN unless a market specifies another source. trade.xyz warns that corrections, delays or uncertain outcomes can postpone settlement, making the design of the resolution process and the integrity of the oracle material to market risk. Events architecture documentation

An established distribution channel

Coin Metrics reported that trade.xyz accounted for about 55% of Hyperliquid’s perpetual-market volume in August. In its August 18 report, Coin Metrics said the platform had processed more than $460 billion in volume since January—roughly 30% of Hyperliquid’s total—while holding more than $4 billion in open interest. The platform also generated about $5 million in fees during the preceding month.

That existing footprint gives Events a distribution channel that many competitors do not have. The prediction contracts can be presented to traders already using trade.xyz for cryptocurrency, equities, commodities and other perpetual markets.

Cryptopolitan reported on August 31 that Hyperliquid was opening prediction-market deployment to third parties. trade.xyz was preparing its own launch, while outside outcome deployers were required to post a 500,000 HYPE bond. Cryptopolitan report

Competition with Polymarket and Kalshi

The prediction-market sector is considerably larger than it was earlier this year. Galaxy’s June 9 analysis said combined lifetime volume across prediction markets exceeded $150 billion in April. During that month, Kalshi recorded $14.81 billion in notional volume and Polymarket recorded $9.01 billion. Galaxy analysis

The latest Artemis data supplied for this article puts combined lifetime volume across tracked venues at about $402.76 billion. In August 2026, the dataset’s latest complete month, Kalshi generated $40.03 billion in notional volume. Polymarket recorded about $8.50 billion across its international and U.S. activity. Artemis prediction-market data

Kalshi retains an advantage through access to the regulated U.S. exchange market, while Polymarket remains strong in consumer discovery. Hyperliquid is taking a different approach by placing event contracts beside perpetuals within the same account. If that model gains adoption, prediction markets would become an integrated product category within onchain derivatives trading rather than a standalone niche.