Felix will shut down the DEX starting June 19, becoming the first official HIP-3 deployer to close.

BlockBeats message, June 8 — Felix, a decentralized derivatives platform, announced that, affected by the suspension of the stablecoin USDH, the Felix DEX based on HIP-3 and all running markets will begin to be gradually shut down starting June 19, and will complete all liquidation by June 20. The platform reminds traders to close their positions before then. Each market will be settled in sequence, with a one-hour interval between adjacent markets.

In response, community member Shaunda Devens said that Felix is the first official HIP-3 deployer to shut down, and it may only be the beginning. Aside from TradeXYZ, the returns other deployers obtain through HYPE staking and auctions are not compelling.

However, Hyperliquid community member aaalex.hl pointed out that Felix’s shutdown appears to be mainly related to the suspension of USDH, rather than TradeXYZ market-share squeeze.

Shaunda Devens replied that USDH is indeed one of the reasons, but Felix chose to fully shut down the DEX rather than continue as a HIP-3 deployer to launch USDC trading pairs. Although it was not directly hit by TradeXYZ, because TradeXYZ dominates the main markets, other deployers can only move into niche markets; these markets are difficult to cover the auction costs, and they cannot justify the opportunity cost of staking 500,000 HYPE tokens.

He further revealed that Hyperion, which rents HYPE to Felix, is reclaiming the related tokens and plans to reallocate the funds to strategies with higher returns.