CME and ICE asked U.S. regulators to tighten oversight on Hyperliquid over oil trading, market risks, and anonymous activity concerns.
Two major financial exchanges are asking U.S. regulators to increase oversight of crypto platform Hyperliquid. According to Bloomberg, CME Group and Intercontinental Exchange expressed worries over the rapidly expanding trading platform and its effect on global oil markets.
The exchanges are said to have reached out to the Commodity Futures Trading Commission, known as CFTC, and some U.S. lawmakers. They said that Hyperliquid’s anonymous trading platform could pose threats to oil prices and the financial markets.
ICE and CME are pressing the US to rein in Hyperliquid, a fast-growing and unregulated crypto platform the exchanges say could skew global oil prices and be exploited for price manipulation https://t.co/pQOnqosd5b
— Bloomberg (@business) May 15, 2026
CME and ICE think that the structure of the platform may enable price manipulation. They also stated that the platform could be used by insiders or sanctioned groups without proper checks. For this reason, they wish to see more stringent regulations for crypto trading platforms that sell commodity products.
CME and ICE Raise Concerns Over Oil Trading Risks
Hyperliquid is a Singaporean crypto trading platform. It has perpetual futures contracts that trade 24 hours a day, 7 days a week. The platform is not like the traditional exchanges, it is still working during weekends and holidays.
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This round-the-clock trading system could have an impact on key oil price benchmarks, CME and ICE said. They said that big trades could be made at night, when the markets are closed, and could cause the prices to shift, which would make the commodity markets unstable.
The exchanges also cited issues with identity verification. Reports indicate that Hyperliquid currently does not have robust Know Your Customer (KYC) and Anti-Money Laundering (AML) systems. For this reason, critics are worried about anonymous users abusing the platform.
The companies said that sanctioned groups or state-sponsored actors could exploit the platform to evade international sanctions. They also said that inadequate regulation could enable insider trading and manipulation of the market.
Hyperliquid has been very fast-growing in recent geopolitical tensions. For instance, during the current war between Iran, oil trading volume rose significantly. The traditional exchanges were closed during the weekend, but Hyperliquid was not.
In one big incident of the war, the volume of crude oil trading on Hyperliquid rose from a daily average of $21 million to over $1.2 billion in a single day. The platform’s continuous trading system enabled traders to react quickly to the risks in the global markets.
Hyperliquid Expands While Regulatory Pressure Grows
Hyperliquid’s market share has also surged in the decentralized finance markets. It reportedly traded more than $7.3 billion worth of crude oil contracts. This resulted in the platform dominating almost 44% of the decentralized derivatives market.
Its HIP-3 upgrade has helped the platform grow. This system is used for synthetic derivatives based on real-world assets such as crude oil. Therefore, many traders are now using Hyperliquid for commodity-related speculation and hedging.
Hyperliquid also reportedly earns almost $700 million in annualized fees from its liquidity vault, HLP. The company uses part of that revenue to buy back its native HYPE token and support the asset’s value.
However, some industry experts believe the situation also involves business competition. Hyperliquid is going head-to-head with the traditional exchanges such as CME and ICE in markets that have long been dominated by them.
In the meantime, CME is getting ready to introduce additional crypto trading products. These products feature 24/7 crypto options, Bitcoin Volatility Futures, and Nasdaq CME Crypto Index Futures. As a result, traditional exchanges are also making their way into digital asset markets.
Hyperliquid fans are also reacting to the criticism. The Hyper Foundation recently announced the launch of the Hyperliquid Policy Center, which has a budget of $29 million. The group will push U.S. lawmakers to adopt rules for cryptocurrencies rather than the existing financial laws.
The discussion now focuses on the increasing conflict between the old financial systems and new blockchain-based trading platforms. While regulators consider the concerns, the rules that are in the works may influence the trajectory of crypto commodity trading in the years ahead.