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In the official announcement, Grayscale has announced that the trading for its Grayscale Hyperliquid Staking Fund will start tomorrow.
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The HYPG ETF has the lowest gross management fee among U.S. Hyperliquid ETFs at 0.29%.
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Despite the announcement and recent growth, HYPE has witnessed a drop of around 5% on a daily chart amid bearish momentum in the overall crypto market.
According to the latest announcement in the post on X, Grayscale, a leading American digital asset management company, has revealed that it is launching its Grayscale Hyperliquid Staking Fund tomorrow.
On June 2, Grayscale mentioned that this ETF will trade on Nasdaq under the ticker symbol HYPG. This launch will open a door for other institutional investors to access one of the leading digital assets without taking the risk of holding it.
What is Grayscale Hyperliquid Staking Fund (HYPG)
The new ETF from Grayscale will provide direct exposure to HYPE, which is the native cryptocurrency of the leading decentralized exchange, Hyperliquid. The main highlight of this ETF is its fees, as it will charge 0.29% sponsor fee. This is the lowest gross management fee among U.S.-listed Hyperliquid ETFs.
For comparison, 21Shares’ THYP is charging 0.30% fee, while Bitwise’s BHYP is taking 0.34% fee after 0% in the first month.
Another major highlight of this investment product is its integration of a new feature called staking. Grayscale has integrated the concept called staking rewards, though it will need regulatory approval. This will allow investors to earn extra interest in the case of a spike in HYPE’s price.
This crypto ETF has been seeded with approximately $115 million worth of HYPE tokens from a company called Hyper Holdings Global LP. At the time of writing, there are around 2 million HYPE tokens. The fund will be listed on the Nasdaq stock exchange.
Hyperliquid Gains Institutional Investors’ Attention with Dominance in Perpetual Market
This comes after the recent report from Grayscale, which highlighted Hyperliquid’s potential growth in the upcoming time. The report stated that, “Hyperliquid is a DeFi platform specializing in perpetual futures that is increasingly competing with traditional exchanges. Regulatory clarity in the US can expand access to Hyperliquid to new users and, in our view, help drive value to the HYPE token.”
In the DeFi sector, Hyperliquid has created its unique identity after establishing its dominance in the perpetual futures market. There are contracts with no expiration dates, and it allows traders to trade on price movements using a leveraged position. The platform is developed on the most efficient layer-1 blockchain. It is the platform where traders can perform low-cost trading of cryptocurrencies, stocks, commodities, and real-world assets at any time.
According to DeFiLIama, the total value locked on the DEX is revolving around $5.78 billion at the time of writing. As of now, the cumulative perp volume on Hyperliquid has surpassed over $4.55 trillion with an open interest rate of $10.04 billion.
Amid the war between the U.S. and Iran in the Middle East, the DEX has witnessed an explosive growth in the trading of Oil-linked perpetuals along with gold and silver. It has executed trillions of dollars in cumulative volume since its launch. Also, there are major upgrades like the HIP 3 that have boosted trading of real-world asset perpetuals.
Hyperliquid is using all trading fees generated on the platform to support buybacks and burning of HYPE tokens. Due to this, it has one of the strongest economic models for the token.
At the time of writing this, HYPE is trading at around $69.79 after a drop of 4.66% in the last 24 hours, according to CoinMarketCap. It is currently holding an impressive market capitalization of $17.69 billion with a daily trading volume of $1.55 billion. This comes after a crash in Bitcoin (BTC) price.
