# HYPED FAQ

**Q: How does Hyperdrive make money from HYPED?**

A: Hyperdrive does not intend to monetize the HYPED LST. It was created as a public good for the Hyperliquid community to access $HYPE liquid staking in the safest and most cost-efficient way possible. \
\
**Q: How is Hyperdrive the safest?**

A: HYPED operates 100% on-chain by using Precompiles and CoreWriter to read and execute transactions. All processes are done on-chain. Certain LSTs are custodial or use off-chain processes to update contract balances, which are risk vectors.\
\
**Q: Why is there a redemption cost?**\
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A: Redemption costs are in place to fund on-chain gas costs and prevent DDOS attacks.\
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**Q: What is the redemption cost?**\
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A: 0.01% or 1 HYPE for the entire batch of withdrawals, whichever is lower.\
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**Q: How long are withdrawals?**\
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A: Withdrawals are batched every 36 hours and have a 7 day unstaking time.


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