Bitwise Launches Hyperliquid ETF as HYPE Demand Surges

Bitwise Asset Management has launched the BHYP Hyperliquid fund on the New York Stock Exchange, expanding institutional access to the rapidly growing HYPE ecosystem. The newly introduced investment vehicle provides direct exposure to the HYPE token while also allowing investors to benefit from staking rewards through Bitwise’s internal staking division.

The launch represents the second U.S.-listed Hyperliquid-focused investment product introduced within the same week, highlighting rising institutional demand for exposure to decentralized finance derivatives platforms and staking-based digital assets.

Hyperliquid, which entered the market in 2023, has rapidly emerged as one of the dominant participants in decentralized derivatives trading. By 2025, the platform reportedly processed approximately $2.9 trillion in trading volume and captured nearly 60% of global on-chain derivatives open interest, according to industry data from DefiLlama.

HYPE Token Gains Momentum

The HYPE token plays a central role within the Hyperliquid ecosystem, supporting governance functions, staking participation, and trading fee incentives. As of May 15, 2026, the token’s market capitalization stood near $14.85 billion, positioning it among the world’s ten largest cryptocurrencies by market value.

Market activity intensified following the BHYP fund launch, with HYPE trading around $44.54 after recording a sharp 20% increase earlier in the day. Analysts attributed the rally largely to growing institutional participation and increasing demand for exchange-traded crypto investment products.

Bitwise’s BHYP fund offers institutional investors direct HYPE exposure alongside staking rewards, further expanding Wall Street participation in the Hyperliquid ecosystem.

The Bitwise launch also follows the recent debut of another Hyperliquid-focused product from 21Shares. Earlier in the week, the company introduced its THYP Hyperliquid ETF in the United States, reportedly generating $1.2 million in inflows and $1.8 million in first-day trading volume.

Meanwhile, Grayscale Investments is reportedly awaiting regulatory approval for its own proposed Hyperliquid investment fund, signaling continued competition among major asset managers seeking exposure to the growing DeFi derivatives sector.

Major Institutional Players Expand Activity

On-chain activity has further reflected rising institutional confidence in Hyperliquid. Venture capital firm Andreessen Horowitz reportedly accumulated approximately $67 million worth of HYPE during April, staking around $51 million of those holdings within the network.

At the same time, Coinbase announced that it had become the official treasury deployer for USDC on Hyperliquid. Since the network’s launch in 2023, the supply of the stablecoin on the platform has reportedly expanded to nearly $5 billion.

Hyperliquid’s rapid growth in trading activity and institutional adoption has positioned HYPE among the most closely watched digital assets in the decentralized finance market.

The BHYP fund has also introduced competitive pricing to attract investors. Bitwise, which currently manages approximately $11 billion in crypto-related assets, established a sponsor fee of 0.34% while waiving fees during the first month for the initial $500 million in fund assets.

Volatility Risks Still Remain

Despite the growing optimism surrounding HYPE, analysts continue to caution investors about the token’s volatility. Recent on-chain movements showed that a large holder reportedly exited a $16.9 million HYPE position on May 12, creating temporary uncertainty in the market.

In addition, a major token unlock event on May 6 introduced approximately 9.92 million HYPE tokens into circulation, representing an estimated value of $375.84 million at the time. Although such large unlocks can often pressure prices, HYPE has remained relatively resilient amid continued ETF-driven demand and staking participation.

The expanding ecosystem of ETFs, staking products, and institutional investment vehicles is strengthening Hyperliquid’s position within the global DeFi derivatives market.

As institutional and retail interest continues to grow, market participants are now closely monitoring the potential approval of Grayscale’s proposed Hyperliquid fund, which could add further momentum to an already active and rapidly evolving sector.

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