Bitwise Asset Management announced on Monday that it will allocate 10% of the management fees from its newly launched Bitwise Hyperliquid ETF (ticker: BHYP) to purchase and hold HYPE tokens on its own balance sheet. The firm revealed the treasury strategy in a post on X, stating it will also stake the accumulated HYPE, directly participating in the blockchain's proof-of-stake rewards. The move reflects Hyperliquid's community-centric token model, where approximately 99% of network revenue is used to buy back and burn HYPE tokens, creating a deflationary supply dynamic.
BHYP debuted on the New York Stock Exchange on May 16, offering indirect exposure to HYPE along with staking rewards. Bitwise’s decision to allocate fee income to HYPE accumulation adds a novel treasury component to the fund, tying ETF fee revenue directly to token demand. The fund recorded a first-day volume of $4.31 million, while the combined assets of BHYP and the earlier 21Shares Hyperliquid ETF (THYP) have exceeded $12.64 million in net assets, with $5 million in net inflows.
Hyperliquid has established itself as the leading on-chain perpetual futures platform, generating nearly 40% of all blockchain fees last week—outpacing Ethereum’s 14% and Solana’s 10%. The HYPE token has more than doubled in 2026, rising from $22 at the start of the year to over $44 today, with a market cap exceeding $10.6 billion, placing it among the top-10 cryptocurrencies by market cap. On-chain data shows significant institutional accumulation, with a wallet linked to Andreessen Horowitz (a16z) buying an additional 372,000 HYPE worth $16.91 million, bringing its total accumulation since mid-April to approximately $90.87 million.
Beyond perpetuals, Hyperliquid's HIP-3 pre-market trading system has surpassed $120 billion in volume, supporting synthetic contracts tied to anticipated public offerings like SpaceX and OpenAI. Real-world asset trading open interest reached a record $2.6 billion, doubling in two months. The protocol's stablecoin integration via AQAv2 also drew attention: USDC became the primary aligned stablecoin through partnerships with Circle and Coinbase, with each entity staking 500,000 HYPE. Analysts estimate that a $5 billion USDC supply on HyperCore and HyperEVM could generate $162 million in annual protocol revenue at a 3.6% yield.
Despite the positive momentum, Hyperliquid faces regulatory scrutiny. Reports indicated that CME and ICE have urged U.S. regulators to examine its decentralized derivatives market. Hyperliquid responded that its public on-chain ledger enhances transparency and can support regulatory surveillance.
Technically, HYPE is trading near a key resistance level at $46. A monthly close above this threshold could open a path to retest all-time highs and potentially advance to $50. Support remains at $38, with the Relative Strength Index (RSI) still below overbought territory, suggesting room for further upside. The broader crypto market experienced downward pressure from geopolitical tensions, but HYPE’s positive news insulated it, resulting in a 3% gain.
