The Growing Momentum of Layer-1 Perpetual DEX Markets: Hyperliquid and Beyond

The Layer-1 blockchain-based perpetual decentralized exchange (Perp DEX) market has witnessed substantial advancements over the past year, bolstered by the extraordinary performance of Hyperliquid. As decentralized finance (DeFi) continues to gain traction, platforms like Hyperliquid and competitors such as GMX, Lighter, gTrade, and Pacifica have emerged as key players driving innovation in on-chain trading solutions. A recent report (ON-374) by analytics platform OurNetwork highlights the impressive growth, market share, and future prospects of these protocols in this rapidly evolving industry.

Hyperliquid’s Dominance in Trading Volume and User Engagement

Hyperliquid has cemented its position as a high-performance Layer-1 decentralized exchange specializing in on-chain perpetual futures trading. In 2025 alone, the platform facilitated over $2.39 trillion in trading volume, commanding a remarkable 30% of the Perp DEX market. With integration into Arbitrum, Hyperliquid has successfully expanded its accessibility and appeal to a broader user base.

Between May and September 2025, open interest (OI) on the platform surged 154%, climbing from $158 billion to $403 billion—an indication of increased trader confidence and participation. During this period, the platform achieved continuous monthly growth, including impressive rebounds of +33% in May and +47% in July, capped by record-breaking trading activity in August. Presently, Hyperliquid's trading volumes are nearly sixfold compared to the same period in 2024.

Bitcoin (BTC) and Ethereum (ETH) dominate activity on Hyperliquid, making up approximately 60% of the platform’s trading volume, with $1.5 trillion exchanged between the two heavyweights. Solana (SOL), meanwhile, leads the altcoin segment. Additionally, Hyperliquid has seen a surge in activity driven by meme coins such as Fartcoin (FARTCOIN), Trump (TRUMP), and kPEPE, collectively contributing over $100 billion in trading volume. The platform’s total transactions have reached a staggering 108 million.

GMX: Expanding Footprint with Record TVL and Revenue

Another standout player in the Perp DEX market is GMX, a multi-network decentralized exchange operating across platforms like Arbitrum, Avalanche, Botanix, Base, and the BNB Chain. It currently boasts a total value locked (TVL) surpassing $500 million, a strong indicator of user trust and protocol reliability. Following the launch of GMX v2 on July 31, the platform recorded its highest single-day fee collection of $1 million.

GMX has demonstrated resilience amid market volatility, as evidenced during the October 10 flash crash when it seamlessly processed $115 million in liquidations and earned $70,000 in associated fees. On Avalanche, it holds a $23 million TVL, followed by $7.5 million on Botanix. To ensure system stability, Chaos Labs’ risk oracle monitors $450 million in TVL across three blockchains and 126 assets to manage open interest limits and funding rates dynamically.

Lighter: Sustaining Momentum with a Robust $1 Billion TVL

Emerging from an eight-month private beta phase, Lighter launched its public mainnet to much anticipation and success. The platform has since maintained an impressive $1 billion TVL despite fluctuations in market conditions and sporadic capital outflows.

New user onboarding spiked ahead of Lighter’s public launch on October 2, with 243,000 unique addresses leveraging the platform by October 15. Of these, 23,600 addresses held balances exceeding 5,000 USDC. However, the sharp market sell-off on October 10 led to a noticeable dip in TVL across several leading protocols, including Lighter, Aster, and Hyperliquid.

gTrade: Innovating with RWA Derivatives and High-Leverage Pairs

Operating across an extensive array of more than 290 markets, gTrade remains a dominant force in the DeFi ecosystem. The protocol’s focus on GNS tokenomics—via regular buybacks and burns—has enhanced its position, with over 1% of its token supply burned within the past 30 days and over 9% reduced over six months. This strategy has consistently ranked Gains Network among the top 30 revenue-generating protocols for token holders.

gTrade is also distinguishing itself with innovative features tailored to traders’ needs. These include discounted GNS staking fees and the redistribution of buyback profits to active users. Notably, the platform’s DEGEN pairs, offering up to 500x leverage, 0.02% fees, and zero slippage, are driving trading volume and liquidity. Additionally, gTrade has established itself as a leader in the rapidly growing RWA derivatives market, offering 30+ trading pairs focused on traditional assets, such as equities and commodities.

Pacifica: A Rising Force on Solana’s Derivatives Landscape

Pacifica, a Solana-based DEX launched in January 2025, has adopted an innovative hybrid execution model that combines off-chain order matching with on-chain settlements. During its private beta, the platform surpassed $20 billion in cumulative trading volumes within just 10 months, a significant milestone for a relatively new player.

A series of recent updates, such as a 50% fee discount and the introduction of daily transaction limits of $50,000, have further fueled growth. By October 6, these initiatives had contributed to a 50% boost in weekly trading volume. By the end of September 2025, Pacifica had outpaced Solana native DEX competitor Jupiter, becoming the leading derivatives platform in terms of weekly trading volume.

With a user base of approximately 20,000, Pacifica is attracting around 200 new users daily while maintaining an average of 5,000 active users. However, the platform’s current offering of just 25 trading pairs poses a limitation, one that, if addressed, could significantly enhance its competitive edge and expand its user base.

The Future of Layer-1 Perp DEX Platforms

The rapid evolution of the Layer-1 perpetual decentralized exchange market underscores its pivotal role in shaping the broader DeFi landscape. With Hyperliquid exemplifying massive growth in trading volume and user adoption and competitors like GMX, Lighter, gTrade, and Pacifica pushing innovation in tokenomics, functionality, and user accessibility, it is clear this sector is poised for continued expansion.

As the race to dominate the DeFi derivatives market accelerates, traditional financial complexities like derivatives trading are becoming more decentralized, transparent, and accessible. With ongoing competition and groundbreaking advancements, these platforms mark a transformative phase in the world of blockchain-based financial ecosystems. The future holds significant promise as Perp DEX platforms continue to drive global adoption and reshape how the world interacts with financial markets.