Hyperliquid Labs has completed the unstaking of 3.75 million HYPE tokens, valued at approximately $330 million, marking the largest token distribution in the project's history. Half of the tokens—1.875 million HYPE—have already been transferred to five over-the-counter buyers.
The unstaking process concluded on October 7, 2026, following a seven-day unbonding period that began on September 30. Once the unbonding window closed, 1.875 million HYPE tokens were distributed evenly across five buyer wallets, with each receiving 375,000 tokens. The remaining 1.875 million tokens have not yet moved to their designated destination.
OTC Agreement Structure
Co-founder iliensinc confirmed that the distribution is tied to an OTC agreement with an undisclosed institutional counterparty. According to the team, the tokens are covered by a firm deal and will not enter public markets. The identities of the buyers, pricing terms, and any resale restrictions have not been disclosed.
The 3.75 million tokens represent part of October's team allocation distribution, which was listed in prior vesting schedules at a nominal 9.9 million HYPE. The actual amount unstaked came significantly below that projected figure.
Scale and Market Impact
This distribution is approximately 8.65 times larger than the team's typical monthly releases, which previously ranged between 140,000 and 534,000 HYPE. The unstaked amount represents roughly 1.5% of HYPE's circulating supply.
The OTC structure mitigates typical market concerns associated with large token unlocks, as routing tokens to institutional buyers under firm agreements reduces immediate selling pressure on exchange order books. Following the distribution, on-chain activity showed some tokens being restaked or aggregated.
