Bitwise, a prominent crypto asset management firm, has filed an updated application with the US Securities and Exchange Commission (SEC) seeking approval for a new exchange-traded fund (ETF) linked to the HYPE token from Hyperliquid. The move comes as Bitwise continues to expand its suite of ETF products, targeting investors who want exposure to digital assets through traditional financial channels.
Direct access to HYPE price for investors
According to the application, the proposed ETF will directly hold HYPE tokens and trade on NYSE Arca under the ticker BHYP. This innovative structure enables investors to participate in HYPE price movements without needing to set up accounts on crypto exchanges or digital wallets, effectively bridging the gap between mainstream finance and the crypto market.
The fund is designed to allow both institutional and individual investors to seamlessly gain crypto exposure using existing financial infrastructure. For many, this eliminates a major barrier to entry, making HYPE more accessible than ever before.
Bitwise’s filing notes that the ETF will carry an annual management fee of 0.67 percent. Custody services for the underlying HYPE tokens will be provided by Anchorage Digital, a federally regulated crypto custodian—addressing key security and compliance concerns.
Staking rewards and rival ETF applications stand out
In a bid to enhance returns, Bitwise plans to stake a portion of the HYPE tokens held by the fund. Approximately 85 percent of the staking rewards, net of expenses, will be passed on to the ETF, giving investors the potential for additional yield on top of price appreciation.
The HYPE token has already experienced impressive gains, soaring nearly 200 percent over the past 12 months. Its strong performance is partly due to its status as a key reference asset in perpetual futures contracts on major platforms.
Bitwise is not alone in seeking to capitalize on growing interest in HYPE-related investment vehicles. Rival asset managers, including Grayscale—which recently filed for a similar ETF to be listed on Nasdaq under the ticker GHYP—as well as 21Shares and VanEck, are all exploring their own HYPE-linked ETF offerings.
The surge in HYPE’s price and trading volume has been driven in part by high liquidity on decentralized exchange protocols and substantial activity in perpetual contract trading. This dynamic has contributed to heightened investor interest and a wave of ETF applications.
Bitwise’s approach aims to set its ETF apart from traditional offerings by incorporating staking yield—a development that could appeal to institutions seeking diversified exposure to emerging digital assets with multiple income streams.
The sharp rise in HYPE’s trading volumes and its notable price rally have fueled excitement in the ETF space, intensifying competition among asset managers looking to launch similar products.
As BHYP’s unique structure introduces new features not typically seen in conventional ETFs, industry observers believe the approval process and its potential impact on markets will be closely watched in the weeks ahead.
- 🚀 Bitwise files new ETF tied to HYPE token after 200% surge.
- The BHYP ETF aims to offer direct exposure to HYPE without crypto wallets or exchanges.
- Staking rewards and management fees included; competition heats up as Grayscale and others file similar plans.
- Key point: HYPE’s trading volume and returns are behind the rising ETF interest.
- Watch out: Regulatory decisions on these products could shape the future of crypto ETFs in the US.
