According to CoinMeta, the Hyperliquid ecosystem trading protocol has announced that, in order to prevent market manipulation and fund pool repayment risks, external transfers of paper tokens will not be allowed at this stage, in order to avoid attacks that amplify the profits from short positions in external perpetual contracts. The protocol will also adjust the fee structure, implementing new rates for transactions where the closing price during normal trading hours does not exceed 0.06% of the opening price, and not more than 0.1% during non-active hours, in order to limit high-frequency arbitrage strategies. Other transactions will not be affected. The issuance mechanism for paper tokens will also be adjusted; in the future, for every $1 million in losses incurred by traders, approximately 0.1% of the total supply of paper tokens will be minted, and a dynamic minting mechanism will be introduced to reduce the risk of insolvency. This upgrade will also introduce an allowlist system for builder and codes. The relevant contracts will be deployed after passing security checks through a time lock.