Hyperliquid, a decentralized perpetuals exchange, has matched Polymarket's BTC binary trading volume in just two weeks following its HIP-4 upgrade. Launched in early May 2026, the upgrade introduced native binary outcome contracts, resulting in 6.05 million BTC contracts traded on the first day. Hyperliquid's shared order book allowed seamless participation from market makers, enabling the platform to surpass Polymarket's volume within 48 hours. The exchange's zero-fee model for binary outcome contracts has attracted significant trader interest, offering daily settlement cycles without fees. This rapid growth highlights a structural shift in the convergence of derivatives trading and prediction markets, with Hyperliquid recording $219 billion in total trading volume in March 2026. However, the CFTC's interest in regulating prediction markets suggests potential scrutiny for platforms like Hyperliquid.