The HyperliquidPerpStrategy lets a syndicate run a leveraged perpetual position on Hyperliquid from an on-chain vault. USDC is pulled from the vault, transferred to HyperCore perp margin via the L1Write precompile, and the proposer drives trading actions (open long, update stop-loss, close position) through updateParams. Position state is read live from HyperCore via L1Read.position2() — nothing is cached on-chain.
HyperEVM mainnet only.
This strategy holds leveraged positions on a centralized-matching venue. A liquidation on HyperCore permanently destroys vault equity up to the deposit amount. Use conservative leverage, set maxPositionSize and maxTradesPerDay at init, and monitor the position directly on Hyperliquid.
Architecture
Lifecycle
Pending → execute() → Executed → (trade actions) → settle() → Settled → sweep
| Phase | What happens | Who calls |
|---|
| Execute | Pull USDC from vault → sendUpdateLeverage → sendUsdClassTransfer to perp margin | Governor (proposal execution) |
| Executed | Proposer opens/closes positions, updates stop-loss, or lowers minReturnAmount via updateParams | Proposer only |
| Settle | Close any open position + request async USD transfer back to the EVM side | Governor (proposal settlement) |
| Sweep | sweepToVault() pushes USDC to the vault when it arrives. Callable by anyone; repeatable for partial arrivals. | Anyone |
Batch Calls
Execute
[USDC.approve(strategy, depositAmount), strategy.execute()]
Settle
After settle(), anyone can call strategy.sweepToVault() once the async USD transfer lands. Funds can only flow to the vault.
InitParams
(
address asset, // USDC on HyperEVM
uint256 depositAmount, // USDC to park as perp margin (fits in uint64)
uint256 minReturnAmount, // Min USDC sweep on settlement (InsufficientReturn revert)
uint32 perpAssetIndex, // HyperCore perp asset index (0 = BTC, 3 = ETH)
uint32 leverage, // 1–50
uint256 maxPositionSize, // Max USDC in a single position — on-chain hard cap
uint32 maxTradesPerDay // Rate limit on trading actions per day
)
leverage must be 1–50- Opening a position where
sz * limitPx / 1e6 > maxPositionSize reverts with PositionTooLarge
- Exceeding
maxTradesPerDay (counted per UTC day) reverts with MaxTradesExceeded
- At settlement,
sweepToVault() reverts with InsufficientReturn if the arrived USDC is below minReturnAmount
Proposer Actions (Executed state)
Encoded as updateParams(abi.encode(action, ...)):
| Action | Encoding | Description |
|---|
0 — update min return | (uint8, uint256 newMinReturn) | Lower the settlement floor. Does not count against daily trade limit. |
1 — open long | (uint8, uint64 limitPx, uint64 sz, uint64 stopLossPx, uint64 stopLossSz) | IOC long + optional GTC stop-loss. Stop-loss uses a fixed CLOID so each new one replaces the previous. |
2 — close position | (uint8, uint64 limitPx, uint64 sz) | IOC close — current design is long-only. |
3 — update stop-loss | (uint8, uint64 triggerPx, uint64 sz) | Cancel the current stop-loss and place a new GTC order. |
L1Read.position2). Funds never leave margin on trade actions — only settle() initiates the USD transfer back.
Risk Notes
- Liquidation: HyperCore liquidates positions that breach maintenance margin. The on-chain contract has no view into liquidation state — settlement and sweep still work, but returned USDC may be well below
depositAmount.
- Async settlement:
settle() does not immediately return funds. The USD transfer from HyperCore to EVM is asynchronous; sweepToVault() may need to be called multiple times for partial arrivals.
- No off-chain keeper: All actions are on-chain through precompiles. There is no bot watching price — set stop-losses explicitly via action
3 if you want automated exits.
- Long-only: The current template opens and closes longs only. Short exposure requires a future template revision.
CLI Usage
sherwood strategy propose hyperliquid-perp \
--vault 0x... \
--amount 5000 \
--leverage 5 \
--asset-index 3 \
--min-return 4500 \
--max-position 20000 \
--max-trades-per-day 20 \
--chain hyperevm \
--name "ETH Perp 5x" \
--performance-fee 2000 --duration 7d
| Flag | Description | Default |
|---|
--amount <n> | USDC collateral to deploy | required |
--leverage <n> | Leverage multiplier (1–50) | 10 |
--asset-index <n> | HyperCore perp asset index | 0 (BTC) |
--min-return <n> | Min USDC on sweep — reverts below this | — |
--max-position <amount> | Max USD in a single position | 100000 |
--max-trades-per-day <n> | Daily trading action limit | 50 |
sherwood proposal update-params using the action encodings above.
Addresses (HyperEVM)
| Contract | Address |
|---|
| HyperliquidPerpStrategy template | 0x1E831aB61Dc423bF678a2Ff8d9ce768E1e6D2338 |
| USDC | 0xb88339CB7199b77E23DB6E890353E22632Ba630f |
| SyndicateFactory | 0x4085EEa1E6d3D20E84D8Ae14964FAb8b899DA40a |
| SyndicateGovernor | 0x7B4a2f3480FE101f88b2e3547A1bCf3eaaDE46bc |
