Grayscale seeks SEC approval for a Hyperliquid ETF, joining other firms in offering products tied to the HYPE token, with details on custodians and potential features.
Grayscale Investments filed an S-1 registration statement with the U.S. Securities and Exchange Commission on Friday for a spot Hyperliquid exchange-traded fund. The proposed Grayscale HYPE ETF would track the price of the Hyperliquid (HYPE) token and trade under the ticker GHYP on the Nasdaq if approved.
Coinbase is listed as the custodian for the fund, according to the filing, but Grayscale did not disclose a management fee for the product. This filing positions Grayscale alongside Bitwise and 21Shares, which have also submitted applications for Hyperliquid-related ETFs.
Details on Hyperliquid Integration
Hyperliquid is a perpetual futures protocol and blockchain that supports 24/7 trading, including tokenized real-world assets like oil and gold. Grayscale indicated in its filing that it might incorporate staking rewards for the HYPE token into the ETF at a later date, subject to certain conditions, allowing investors to earn yield on top of token price gains.
Bitwise amended its Hyperliquid ETF filing in December to include staking, while 21Shares mentioned the possibility in its October submission. Grayscale's approach differs by not including staking from the start.
Hyperliquid maintains significant trading activity, with weekly volumes ranging from $40 billion to $100 billion, according to DeFiLlama data. This keeps it as the leading platform for perpetual futures trading despite competition.
New competitors such as Aster, Lighter, and edgeX have emerged, reducing Hyperliquid's market share, but they still record lower trading volumes on most weeks. Overall, total weekly perpetuals trading volume across platforms has stayed between $125 billion and $300 billion this year, more than double the levels from the previous year.
The filing reflects growing interest in crypto-based financial products, as Hyperliquid continues to be adopted by platforms for its round-the-clock trading capabilities.
