Architecture

WHLP

The tokenized HLP (wHLP) provides users on HyperEVM with enhanced flexibility to access and participate in the HLP vault on HyperLiquid Core, enabling seamless integration within the broader DeFi ecosystem. Users can deposit any of the supported whitelisted assets, which are automatically swapped through HyperLiquid Core and directly deposited into the HLP vault. Participants will receive an ERC20 token representing their proportional shared based on their deposited amount relative to the total value locked (TVL).

Leveraging HyperLiquid's enshrined read-and-write pre-compiles ensures that we are able to have an entirely non-custodial and onchain product. Detailed information regarding pre-compiles can be found in the Hyperliquid Docs.

Liquidity management between HyperEVM and HyperLiquid Core is handled through specialized escrow contracts. These escrow contracts can reduce or entirely eliminates the withdrawal cooldown period a user would typically experience when the user directly deposits in the HLP vault (Subject to current available liquidity).

This flexible approach to the wHLP allows for the greatest amount of assets to be used to enter into the HLP vault with the fewest amount of user actions. Making it a great lego block to be utilized in DeFi from collateral, trading pair, or yield asset.