What is the main difference between HyperLend and Felix?

HyperLend is one shared, Aave-style pool where you borrow existing assets such as USDC or HYPE at a floating rate. Felix's main product is a CDP: you lock collateral and mint its feUSD stablecoin at an interest rate you set, and it also runs isolated Morpho-based markets for borrowing existing assets.

Which is bigger, HyperLend or Felix?

HyperLend. DefiLlama showed about $327M in HyperLend's pooled markets on November 4, 2026, against about $30.0M in Felix's vaults and $21.0M in its CDP.

When do HyperLend and Felix liquidate a loan?

Both at a health factor below 1. HyperLend can liquidate positions with under $2,000 of debt, or a health factor below 0.95, in full and larger ones by half. Felix's CDP pays a 5% penalty to Stability Pool depositors, and its Vanilla Markets give liquidators a discount, for example 12.67% on WHYPE markets.

What is a feUSD redemption?

When feUSD trades below $1, anyone can redeem it for $1 of collateral minus a fee of at least 0.5%, starting with the borrowers paying the lowest interest rates. Those borrowers keep the dollar value but lose their collateral exposure, with no penalty.

Can I use kHYPE or wstHYPE as collateral?

Yes on both. HyperLend's Core Pools list kHYPE, wstHYPE and beHYPE, and Felix lists kHYPE and wstHYPE among its CDP branches and Vanilla Markets collateral.

HyperLend vs Felix (2026): HyperEVM Lending Compared, Fees,…

The short answer

HyperLend suits you if you want a familiar Aave-style market: supply an asset to earn, or borrow USDC, USDT0 or HYPE against a basket of collateral at a floating rate. Felix suits you if you want to mint a stablecoin (feUSD) against HYPE, UBTC, kHYPE or wstHYPE at an interest rate you pick yourself, or to borrow in isolated markets where one bad asset can’t drain another. Both live on HyperEVM, Hyperliquid’s smart-contract chain, and you pay gas in HYPE.

HyperLend vs Felix at a glance

	HyperLend	Felix
TVL (DefiLlama, November 4, 2026)	about $327M (pooled)	about $30.0M vaults + $21.0M CDP
Model	Pooled Aave v3.6 fork (Core Pools with E-mode) plus one-pair Isolated Pools	feUSD CDP on Liquity v2, plus Vanilla Markets on Morpho supplied by Felix vaults
Collateral (examples)	wHYPE, kHYPE, wstHYPE, beHYPE, UBTC, UETH, USOL, USDC, USDT0, USDe, sUSDe, USDH, Pendle PTs	CDP: HYPE, UBTC, kHYPE, wstHYPE. Vanilla: WHYPE, kHYPE, wstHYPE, UBTC, UETH, hwHLP, wHLP, kHYPE-PT
What you borrow	Any listed reserve, e.g. HYPE, USDT0, USDC, USDe	CDP: feUSD only. Vanilla: USDT0, USDhl, USDe, HYPE
Interest	Floating, set by utilization	CDP: rate you choose. Vanilla: floating utilization curve
Lender fee	Reserve factor about 20% of borrower interest on most assets	10% performance fee on Felix-curated Morpho vaults
Other fees	0.04% flash loans; treasury share of liquidation bonus	CDP: up-front borrow fee (no number published); redemption fee 0.5% plus a decaying base rate; 2,000 feUSD minimum
Liquidation	Health factor below 1; penalty per asset	CDP: 5% penalty to Stability Pool; Vanilla: 12.67% (WHYPE), 7.41% (UBTC) discount
Oracles	Chainlink and RedStone	RedStone primary
Audits	Pashov, Cantina, Ackee, Nethermind, CD Security; bug bounty	Liquity v2 base: ChainSecurity, Dedaub, Coinspect, Recon, Certora; Felix changes: Dedaub, Coinspect

HyperLend

Who it’s for: people who want to supply stablecoins for yield, or borrow against HYPE and HYPE staking tokens in one place.

HyperLend’s docs call it a friendly fork of Aave v3.6, recognized by Aave governance. Everything you deposit in a Core Pool counts toward one combined collateral balance, and E-mode gives a higher loan-to-value for correlated pairs, such as HYPE against a HYPE staking token. Isolated Pools hold exactly one collateral and one borrow asset.

Deposits and withdrawals are free. The protocol keeps a reserve factor of about 20% of borrower interest on most assets (exact values per asset in the app) and charges 0.04% on flash loans. Below a health factor of 1 (a score of how well your collateral covers your debt), liquidators repay part of your debt and take collateral plus a penalty. HyperLend’s own docs warn that if one Core Pool asset fails, “the entire pool is at risk”. Upgrades run through a governance multisig with timelocks.

Full dossier: HyperLend.

Felix

Who it’s for: HYPE holders who want a stablecoin loan at a rate they control, and borrowers or lenders who prefer isolated markets.

The feUSD CDP (collateralized debt position) is built on Liquity v2. You deposit collateral, choose an annual interest rate and mint at least 2,000 feUSD. The peg holds through redemptions: when feUSD trades below $1, anyone can swap it for $1 of collateral, starting with the borrowers paying the lowest rates. A higher rate puts you further back in that queue. A Stability Pool of feUSD deposits absorbs liquidations and earns borrower interest plus the 5% penalty. Published maximum loan-to-values are about 59% for HYPE and 50% for UBTC; Felix suggests keeping at least 150% collateral if you check daily.

Vanilla Markets are isolated one-collateral, one-loan markets on Morpho’s HyperEVM deployment, with typical loan-to-values of 75 to 80% and no redemptions. Lenders supply them through Felix-curated vaults, which charge a 10% performance fee per the Morpho API on November 4, 2026. Felix added admin-set mint caps and pausing to Liquity v2 and says its contracts keep upgradability.

Felix has also wound down two products: its flx HIP-3 perp dex (all 16 markets flagged delisted on November 4, 2026) and its USDhl stablecoin. Neither affects the lending markets above. Full dossier: Felix.

Alternatives: HypurrFi and Morpho

HypurrFi runs Aave V3.0.2-fork Pooled Markets (about $5.0M on DefiLlama, November 4, 2026) and isolated Euler V2-based markets, plus USDXL, which it calls a synthetic dollar. It publishes no protocol fee schedule.
Morpho on HyperEVM is the base layer under Felix’s Vanilla Markets: about $135M on DefiLlama on November 4, 2026, with vaults from Felix, Gauntlet, K3 Capital and MEV Capital, mostly at a 10% performance fee. Felix’s vault deposits are lent into Morpho markets, so don’t add the two figures together.

How we compared

We compared the lenders on documented criteria: lending model, accepted collateral, borrowable assets, how interest is set, protocol fees, liquidation rules and penalties, oracle providers, published audits, and TVL from DefiLlama on November 4, 2026. Facts come from each protocol’s own docs and the Morpho API, listed below. The table and sections list the two protocols by TVL, largest first. We never rank by who pays us, and we have no referral arrangement with either protocol.

Risks both share: liquidation when collateral falls, oracle errors that can trigger unfair liquidations, upgradeable admin-controlled contracts, and withdrawals that can wait when an asset is fully borrowed. If you post a staking token as collateral, read kHYPE vs stHYPE first.

HyperLend vs Felix: which HyperEVM lender fits