Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin

TLDR

• Samani attacks Hyperliquid after exit; $40M HYPE buys raise questions.

• Hyperliquid faces heat post-Samani exit as HYPE buying and HIP-4 grow.

• Samani’s post-exit jab meets on-chain HYPE buys and HIP-4 outcome rollout.

Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin, and the clash hits social media fast. He stepped down from Multicoin Capital on February 5, 2026, then attacked Hyperliquid days later. On-chain trackers tied Multicoin-linked wallets to sizable HYPE buys, and the timing fueled speculation.

Criticism hits as token activity draws attention

Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin, and he now chairs Forward Industries. He accused Hyperliquid of enabling crime, and he criticized closed-source code and permissioned design. Public reporting has not verified claims linking Hyperliquid to terrorism or similar activity.

Source: X

Blockchain analysts reported wallets associated with Multicoin accumulated more than $40 million of HYPE in late January. They traced staggered buys and intermediary hops that converted ETH into HYPE over several days. Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin amplified questions about firm alignment.

Hyperliquid pushed HIP-3, which opened permissionless perpetual markets and expanded asset listings beyond crypto. TradeXYZ drove much of the post-upgrade activity and processed more than $12 billion in recent volume. Hyperliquid also outlined HIP-4 outcome markets that resemble prediction trading with fully collateralized settlement ranges.

Solana treasury strategy sets the background

Multicoin Capital built its brand by backing Solana and funding core infrastructure across the ecosystem. In September 2025, it joined a large private investment that positioned Forward Industries as a Solana treasury vehicle. Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin contrasted with Multicoin’s long Solana posture.

                                                Hyperliquid (HYPE) Price

Multicoin often highlighted on-chain yield from staking and DeFi, and it framed Solana as a transparent income network. Its research coverage frequently cited validator participation, including Jito’s rising role in delegated stake during 2025. This context made the firm’s reported HYPE position look like a strategic branch into derivatives infrastructure.

Supporters argued Hyperliquid sends revenue toward buybacks and user incentives instead of venture distributions. Critics emphasized decentralization, open code, and broad validator sets as baseline requirements for credible finance rails. Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin became a symbol of that split.

Funding flows and outcome markets extend the story

On-chain monitors said the main funding leg used Ethereum, which rotated into HYPE through intermediary wallets. These flows appeared during a period of active perpetual trading demand and higher leverage usage across venues. Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin arrived while those flows stayed visible.

Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin, as HIP-4 planning drew analyst commentary. Messari analyst Sam Ruskin said HIP-4 could support outcome contracts tied to events, including pre-IPO milestones. He argued outcome settlement reduces oracle dependence and removes liquidation pathways tied to disputed pricing.

Neither Multicoin nor Hyperliquid has disclosed links between the leadership change and any specific token position. Still, the dispute kept attention on governance design, custody risk, and disclosure norms in on-chain markets. Kyle Samani Slams Hyperliquid as “Everything Wrong With Crypto” After Leaving Multicoin landed as HYPE formed a higher low.