Papertrade, a decentralized perpetuals exchange on HyperEVM, launched on October 10, 2026. The platform initially recorded over $1.3 trillion in cumulative notional volume and briefly reached second place in global daily revenue rankings.
The protocol experienced a sharp decline in activity shortly after launch. Open interest dropped by 93.7%, falling from approximately $11 billion to $693 million within 24 hours. By October 11, the total value locked decreased by $48 million to $70 million.
Staking revenue for PAPER token holders plummeted by 93% in a single day, dropping from about $1.28 million to roughly $84.5K. Analysts link this decline to an October 20 decision to make the PAPER token non-transferable, which reduced incentives for traders.
Following the change in token transferability, daily revenue fell to approximately $178K, causing the protocol to exit the top 20 list of revenue-generating platforms. Delphi Digital analysts are now questioning the sustainability of the exchange without organic user activity.
