Avail's ShieldTX gives Hyperliquid traders a fresh wallet per trade to dodge copy bots

Avail, the blockchain project spun out of Polygon in 2023, has launched ShieldTX, a service that places every Hyperliquid perpetual futures position through a separate, freshly created wallet. The goal is to stop copy-trading bots from following large traders, The Block reports. On Hyperliquid every wallet's trades are public, so bots can mirror a big position within seconds and push the original trader's fills to worse prices.

What Avail's study found

Before launch, ShieldTX looked at 332,317 wallets that traded on Hyperliquid over 30 days. It picked seven traders from the top 100 and flagged wallets that matched their coin and direction within 60 seconds at least 10 times.

• The added execution cost for traders being copied was a median 63 basis points per trade (0.63%), after adjusting for coin, size and volatility.
• 29% of the top 150 leaderboard accounts use subaccounts, but those stay linked on-chain.
• One fund founder said they thought rotating wallets gave them privacy, then found the wallets had already been tied to them and copied.

The figures are ShieldTX's own analysis and have not been independently checked.

How it works

Traders deposit into a vault contract on Arbitrum. For each new position, ShieldTX creates a new Hyperliquid wallet and trades through it. The position is still visible on Hyperliquid but is not directly linked on-chain to the trader's main wallet. When it closes, the money returns to the user's shielded balance, and the full history stays available for audits. The service runs on Avail's zero-knowledge privacy layer, Nightshade, and comes with a scanner showing which wallets may be copying you.

Context

Hyperliquid's core team was not involved in building ShieldTX. Rival Aster launched a privacy-focused chain in March, and StarkWare recently released OffMarket for Polymarket traders. If you are new to these markets, read what perpetual futures are and our explainer on crypto copy trading, the practice ShieldTX is built to block.