TL;DR
- Avail launched ShieldTX, a privacy tool that creates a separate wallet for every perpetual futures position opened on Hyperliquid.
- A ShieldTX study found that traders affected by copy-trading bots incurred a median additional execution cost of 63 basis points per trade.
- The platform completed a private beta with 75 traders, approximately $50 million in trading volume, and more than 3,800 wallets created.
Avail launched ShieldTX, a privacy tool designed to protect Hyperliquid traders from copy-trading bots, which identify publicly visible trades and replicate positions within seconds.
The service creates a separate wallet for every perpetual futures position, making it harder for other traders to link transactions to the same account.
According to a ShieldTX study, traders affected by these practices incurred a median additional execution cost of 63 basis points per trade, equivalent to 0.63%.
AVAIL enters the Hyperliquid ecosystem with @ShieldTXxyz
Why Hyperliquid, and why now?
Hyperliquid is where a lack of privacy costs large traders on every trade, and public exposure is holding back desks and funds who want to trade there.
After screening 332,317 wallets over… pic.twitter.com/WdLCWYM7RR
— Avail (@AvailProject) October 28, 2026
Avail Aims to Protect Traders
ShieldTX examined 332,317 wallets that traded on Hyperliquid over 30 days. Researchers randomly selected seven traders from the platform’s top 100 and analyzed 25 addresses that appeared to follow the trades of each one.
The study flagged potential bots when they matched both the asset being traded and the direction of the position, long or short, within 60 seconds of the original trade, at least ten times during the period.
To estimate the additional cost, researchers compared execution prices and market movements, accounting for the asset, position size, and volatility.
ShieldTX also offers a scanner that allows traders to identify wallets that may be copying their trades. According to Avail, publicly visible positions can expose investment strategies and hedging activities used by institutional funds.
The tool uses a smart contract vault on Arbitrum. When a user opens a position, the system creates a new wallet on Hyperliquid and executes the trade through that address.
ShieldTX Exceeds $50 Million in Trading Volume During Its Beta
Although positions remain visible on Hyperliquid, they are not directly linked onchain to the trader’s original wallet.
When a position is closed, the funds return to the user’s shielded balance, where they can be withdrawn or used again.
Avail began testing ShieldTX in July with a small group of large traders, trading desks, and funds. The private beta included 75 traders, approximately $50 million in trading volume, and more than 3,800 wallets created.
Polygon co-founder and Avail lead Anurag Arjun said participants successfully avoided copy-trading bots, although he did not provide a comparison of execution costs before and after using the service.
ShieldTX runs on Nightshade, the zero-knowledge privacy infrastructure developed by Avail.
The company is expanding the program through invitation codes, offering discounts to users who participate in staking on the platform. The service primarily targets wallets trading $500,000 or more and applications using Hyperliquid builder codes.
Avail reported conducting internal audits and reviews with external consultants, while a full security audit remains underway. Hyperliquid’s core team was not directly involved in developing ShieldTX.
