Hyperliquid Testnet Adds Optional Address Whitelist Feature for HIP-3 DEX

Hyperliquid’s testnet has recently introduced a new feature called “stars,” which adds an optional trading address whitelist mechanism for HIP-3 DEX. According to BlockBeats On-chain Detection, deployers can restrict opening positions or adding to positions to whitelisted addresses only, while the testnet whitelist limit is currently 10,000 addresses.

Unauthorized addresses can still deposit funds into accounts and submit reduce-only orders to close or lower existing positions. Community members said the feature could expand HIP-3 DEX use cases, including tokenized stocks, real-world assets, institutional indices, and other regulated products that may be limited to users who complete KYC or meet access requirements.

They also said new markets could first open to market makers, partners, or community members for testing, helping reduce the risk of spam trading, wash trading, or malicious manipulation early on. The reduce-only design for non-whitelisted users would also help prevent traders from being unable to exit positions because of access restrictions.

The “stars” feature does not change Hyperliquid’s permissionless base layer, but adds an optional access-control function that developers can enable or disable as needed. That could support closed trading markets for DAOs, trading clubs, private funds, or partner-only venues while preserving Hyperliquid’s matching engine and settlement layer advantages. The feature is still in testnet phase, and the official team has not disclosed its specific use case. Further applications will depend on the mainnet launch and additional developer documentation.