An entity has recently left traces on the Hyperliquid testnet. A deployer carrying the “Kraken HIP-3 test DEX” identity was detected activating a permissioning or stargating system in the testnet environment on August 19. Network data shows that this move was followed by the appearance of a validator registering under the name “Kraken Exchange Validator.” This validator immediately executed the first step by whitelisting 10 selected crypto wallets.
This testnet activity appears technical and targeted, far from a mere empty name registration. The deployer tested three out of a total of five advanced compliance controls available within the network. The testing focused on critical features for exchange risk management, including automated mechanisms to cancel users’ open orders, close trading positions via a reduce-only path, and facilitate the transfer of collateral between accounts.
Building an Independent Exchange on Top of the HyperCore Engine
This entire testing framework refers to the implementation of HIP-3, short for Hyperliquid Improvement Proposal 3. The network’s new rules are specifically designed to allow third parties to build their own perpetual futures exchanges. Although operating as independent platforms, they still use HyperCore - Hyperliquid’s primary on-chain trading engine - as the backbone for transaction settlement.
The freedom to build an independent exchange under HIP-3 rules comes with strict capital requirements. The Hyperliquid network requires every prospective operator to stake asset capital. They must lock or stake a minimum of 500,000 HYPE tokens to act as primary operational collateral before being allowed to launch their trading platform to the public.
What We Don’t Know Yet
Although the names of the validator and deployer clearly carry Kraken attributes, the status of this project remains limited to on-chain data tracking. As of writing, there has been no confirmation from either Kraken’s management or the Hyperliquid development team regarding the authenticity of the testnet testing, or the certainty of a partnership between the two entities.
Despite the lack of confirmation, a move toward decentralization makes sense given Kraken’s track record. Throughout 2026, the exchange has aggressively pushed the boundaries of its traditional securities business and on-chain infrastructure. Kraken previously expanded its services by launching U.S. stock trading specifically for users in the EEA region. On the pure crypto side, they recently launched an on-chain execution system called xChange. Whether an independent exchange in the Hyperliquid ecosystem will be the next piece of their expansion, the market still has to wait for a public statement. Reported by crypto.news.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
