His comments touch on a sensitive topic in crypto. Venture capital firms often accumulate large token positions in public markets.
According to Jeff, the real concern is not just who owns the tokens. It’s about whether a project maintains its original neutrality and integrity, while remaining true to the ideals envisioned by Satoshi.
Venture capital and token concentration
Venture capital has played a major role in the growth of the crypto ecosystem, funding exchanges, protocols and infrastructure. Yet this often results in large token allocations for investors before public release. Jeff says this can undermine the protocol’s principle of neutrality, which states that all participants in a network should start on an equal footing. When a handful of companies control a significant portion of a token offering, the playing field can appear uneven, affecting long-term governance and trust.
How big can Hyperliquid reach?
“Finance as a whole” – $HYPE CEO @cameleon_jeff
Hyperliquid pic.twitter.com/UUjZDZQZBs
– TBPN (@tbpn) October 22, 2025
Solana’s first fundraising rounds are a concrete example of this concern. Large venture capitalists received millions of tokens ahead of the public sale, leading to debates over centralization and influence over the network. While such funding accelerates development, it also raises the question of whether the project’s origins remain “intact,” a term Jeff uses to describe protocols that maintain fairness and transparency from the beginning.
Messari data shows that for many early-stage tokens, more than 50% of the supply is often held by founders and investors, highlighting how concentration can influence perception and adoption.
Jeff emphasizes that even in competitive markets, teams should strive to honor the philosophy of neutral protocols. This means designing token distributions, governance structures, and release schedules that reflect fairness and community participation. The goal is to create projects in which no single player, whether a venture capitalist or founder, can dominate decision-making or market influence. As crypto matures, adherence to these principles can be a key differentiator between long-term projects and those that struggle to gain credibility and trust.
Learn more about hyperliquid
Hyperliquid announced that, following community demand, it has listed MEGA-USD perpetual futures (hyperps). This will allow traders to take long or short positions on the unlaunched MegaETH token with up to 3x leverage.
At the request of the community, Hyperliquid has listed MEGA-USD hyperps. You can now buy or sell the unlaunched MegaETH token with up to 3x leverage. pic.twitter.com/PUWToNdmd0
– Hyperliquid (@HyperliquidX) October 22, 2025
The move allows users to speculate on the potential future value of MegaETH ahead of its official debut, demonstrating Hyperliquid’s agility in responding to traders’ interests and expanding its suite of innovative crypto derivatives.
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