21Shares has officially launched the first U.S. listed Hyperliquid ETF on Nasdaq, giving investors regulated exposure to the rapidly growing HYPE ecosystem.
Key Takeaways
- 21Shares launched the first U.S. spot Hyperliquid ETF under the ticker THYP on Nasdaq.
- The ETF includes staking rewards, allowing investors to gain passive yield exposure alongside HYPE price movements.
- Hyperliquid continues dominating decentralized perpetual trading, processing billions in daily volume.
- Whale accumulation in HYPE surged 272% ahead of the ETF debut, signaling strong market interest.
What Happened?
Crypto asset manager 21Shares has launched the first U.S. exchange traded fund tied to Hyperliquid’s HYPE token, marking another milestone in the expansion of crypto investment products on Wall Street. The new ETF, trading under the ticker THYP, began trading on Nasdaq on May 12.
Alongside THYP, the company also highlighted its leveraged product, TXXH, a 2x long Hyperliquid ETF that started trading on April 30. The launch gives traditional investors direct exposure to Hyperliquid, one of the fastest growing decentralized perpetual trading platforms in crypto.
11 employees¹
— 21shares US (@21shares_us) May 12, 2026
$900+ million in profit¹
$35B valuation²
That’s @HyperliquidX.
Now in ETF form on @NasdaqExchange for the first time.
Introducing the 21shares Hyperliquid ETF:
– physically-backed by $HYPE
– staking enabled
– 0.30% management fee
– pricing backed by @FTSERussell… pic.twitter.com/7XvBGfUeGf
21Shares Expands Crypto ETF Lineup
The newly launched THYP ETF is structured as a grantor trust and tracks the FTSE Hyperliquid Index. Unlike a traditional 1940 Act fund, the structure allows 21Shares to stake a portion of the fund’s HYPE holdings to generate additional yield.
According to the filing, between 30% and 70% of the fund’s HYPE holdings may be staked through Figment Inc., with the possibility of increasing staking allocation up to 100% at the sponsor’s discretion.
The ETF carries an annual sponsor fee of 0.30%, paid in HYPE. Custody services are handled by Anchorage Digital Bank and BitGo Bank & Trust, with assets stored in cold wallets backed by up to $350 million in insurance coverage against theft and fraud.
21Shares stated that the launch is aimed at bridging traditional finance with decentralized finance through regulated investment products.
Andres Valencia, EVP of Investment Management at 21Shares, said:
The company also noted that Hyperliquid has processed more than $4 trillion in cumulative trading volume since launch and currently controls over 50% of decentralized exchange perpetual open interest.
Hyperliquid Ecosystem Continues to Grow
Hyperliquid has emerged as one of the most active decentralized trading networks in crypto. The platform reportedly handles around $8 billion in daily trading volume across perpetual products.
Its ecosystem has also expanded through integrations with popular crypto wallets such as Phantom, MetaMask, and Rabby. Through revenue sharing agreements tied to perpetual trading activity, Phantom alone reportedly generated $20 million in revenue since integrating Hyperliquid last year.
The platform now supports trading across crypto perpetuals, commodities, indices, and prediction markets, positioning itself as a broader cross asset trading network rather than just a crypto exchange.
More than 100 teams have reportedly integrated Hyperliquid infrastructure to support perpetual trading features inside their applications.
Whale Accumulation and Market Reaction
The ETF launch comes amid rising interest in HYPE from large investors. According to data shared in the reports, whale accumulation jumped 272% over the past week.
Supply held by whales reportedly climbed from 47% to 70% in May, even as HYPE traded within the $40 to $45 range since mid April.
At the same time, exchange supply increased by 123%, raising concerns that some holders may be preparing to take profits or increase staking activity.
Following the ETF announcement, HYPE traded near $42, reflecting positive market sentiment around the launch.
Risks Remain for Investors
Despite growing excitement, the prospectus included strong warnings about the risks tied to HYPE exposure. The filing stated that THYP may not be suitable for investors unable to withstand a total loss.
The document cited annualized volatility above 126%, along with risks tied to staking lockups, validator penalties, and redemption delays.
Competition in the HYPE ETF market is also increasing. Bitwise and Grayscale have already filed competing spot Hyperliquid ETF applications under the proposed tickers BHYP and GHYP.
CoinLaw’s Takeaway
In my experience, this launch shows that institutional appetite for crypto products is moving beyond Bitcoin and Ethereum. I found the Hyperliquid ETF launch especially important because it brings decentralized perpetual trading into traditional finance markets in a regulated format. Hyperliquid has already built strong traction in crypto circles, but a Nasdaq listed ETF could expose HYPE to a much wider class of investors. At the same time, the extreme volatility warnings remind investors that newer crypto assets still carry substantial risks despite growing institutional adoption.
