Papertrade, a synthetic perpetuals platform on the HyperEVM network, has announced that its PAPER tokens will remain non-transferable. This decision stems from concerns about potential perpetual attack risks, following a reported incident involving oracle manipulation. The incident allegedly resulted in a wallet draining approximately $1.28 million from Papertrade’s pool. As a result, the PAPER token will continue to serve as a staking and protocol-revenue instrument without an open secondary market. The current restriction highlights ongoing risks associated with single-oracle dependency and liquidation processes.
Market participants will be closely monitoring any announcements regarding changes in the transferability of PAPER tokens, as this could significantly impact liquidity and valuation. Any developments related to the security and reliability of Papertrade’s oracle systems may also influence market perceptions. Additionally, updates on staking rewards, token emissions, and the establishment of a liquid secondary market will be critical indicators of future pricing scenarios.
Daily. Free. Join 34,000+ readers across crypto, finance, and policy.