About a month after launch, three spot ETFs on HYPE trading in the U.S. have accumulated nearly $900 million in total trading volume. Net capital inflow was about $153 million, according to The Block.
For crypto funds, this is a strong start, especially if you exclude Bitcoin and Ethereum products. Interest in HYPE shows that large investors are increasingly looking at tokens where there is a clear link between platform revenue and demand for the asset.
Inflows into HYPE ETF came amid capital reshuffling within crypto funds. While ETFs on Bitcoin and Ethereum faced outflows, HYPE products closed almost every trading day in the green.
There was only one exception. On June 5, about $2.9 million was withdrawn from BHYP by Bitwise. But this had almost no impact on the overall picture.
Why ETFs on HYPE Attract Capital
American investors access HYPE through three funds: THYP by 21Shares, BHYP by Bitwise, and HYPG by Grayscale. According to The Block, most trading so far is in THYP and BHYP. The Grayscale fund is still building liquidity.
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These products hold HYPE directly and give investors access to staking within each fund’s structure and regulatory constraints. Yields differ from product to product. At the beginning of June, the highest stated rate was for HYPG.
Currently, about 434 million HYPE are staked. This is about 45% of all tokens available for staking. The fewer coins remain in free circulation, the more noticeable new purchases by ETFs can be.
Bitwise also adds demand. The company promised to allocate 10% of the management fee for BHYP to buying and staking HYPE. This creates another regular source of purchases.
There is also a simpler reason for demand. Hyperliquid restricts direct access for users from the U.S.. Therefore, for many American investors, ETFs have become the most convenient and understandable way to get exposure to HYPE.
How Hyperliquid Fees Turn Into Demand for HYPE
The main interest in HYPE is tied to the Hyperliquid economy. About 97% of the platform’s trading fees go to the Assistance Fund. This fund buys back HYPE on the open market.
Because of this, Hyperliquid is increasingly seen not as a typical crypto project, but as an exchange business with a strong buyback program. Investors look not only at the token price, but also at revenue, trading volumes, staking yields, and buyback activity.
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According to DefiLlama, as cited by TechFlow, in the last 30 days, trading volume for perpetual contracts on Hyperliquid was about $240.5 billion. At this pace, the platform’s annual revenue could be about $886 million.
Hyperliquid is already expanding beyond the crypto market. Through the HIP-3 model, the platform now offers perpetual contracts on traditional assets, including the S&P 500, Nasdaq-100, silver, and oil. Against this background, the share of cryptocurrencies in total trading volume has dropped from about 90% to 65%.
If revenue stays around $886 million per year and 97% of fees continue to go to the Assistance Fund, buybacks could reach about $860 million per year. That’s about $71 million per month or $2.3 million per day.
That is why the market compares ETF inflows to HYPE buybacks. In the first month, funds attracted about $153 million in net capital. At the current pace, the Assistance Fund could theoretically buy back a comparable amount in just over two months.
Of course, these are just calculations. They do not account for future token unlocks, liquidity, declining trading activity, or general market risks. But they explain why institutions see HYPE not just as a speculative token, but as an asset with a built-in source of demand.
Institutions Test the Exchange Token Idea
Head of Research at Presto Labs Peter Chang noted that institutional investors are entering ETFs on HYPE faster than they did Bitcoin-ETFs at a comparable stage, considering the market capitalization of the assets. He said this to Unchained.
Senior ETF analyst at Bloomberg Eric Balchunas also drew attention to THYP. According to him, the fund’s trading dynamics look like organic demand, not short-term launch hype.
Bitwise’s Chief Investment Officer Matt Hougan believes that Hyperliquid ‘s potential is still largely untapped. In his view, the market has only realized about 1% of the platform’s possible scale.
In a separate note, Hougan wrote that Hyperliquid should be evaluated more broadly than just as a crypto derivatives venue. In his opinion, the project is gradually becoming a multi-asset trading platform.
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At the beginning of June, HYPE rose above $70. This brought Hyperliquid ‘s fully diluted valuation to about $69 billion. Since the start of the year, the token has also outperformed Bitcoin, Ethereum, Solana and XRP.
What Happens Next
The first month was strong, but the main test is still ahead. At launch, ETFs often get extra attention simply due to novelty and early hype.
Now investors will watch to see if inflows into HYPE ETFs continue. Trading volumes on Hyperliquid and the platform’s ability to keep them above key levels are also important.
Another question concerns the Assistance Fund. The market needs to understand whether the fund can continue to buy enough HYPE to offset pressure from future token unlocks.
If trading activity falls, so will revenue. Then buyback volumes will shrink, and the idea of HYPE as an exchange stock equivalent will weaken.
According to TechFlow calculations based on the 21Shares model, if monthly trading volume on Hyperliquid drops below $200 billion, annual revenue could fall to $350–450 million. This would weaken the buyback program and increase pressure from new tokens coming to market.
Risks remain significant. Issuer documents mention staking, validator, liquidity, and regulatory risks. In addition, Hyperliquid competes with major centralized exchanges that have deeper liquidity and stronger infrastructure for dealing with regulators.
So far, ETFs on HYPE have managed to attract institutional investors. Now it is important to see if demand will remain after the launch effect starts to fade.
