Wall Street Wants Hyperliquid (HYPE) Exposure Without Touching a DEX – ETF Filing Explains Why
Hyperliquid (HYPE) is getting noticed again, but this time the focus is on positioning rather than price swings.
Over the past two weeks, one large holder accumulated about 490,000 HYPE, worth roughly $12.1 million. The buying fits a pattern that has been building since earlier this year, with part of the position later moved into staking instead of being sold.
Alongside that activity, validators are reviewing a proposal that could change how HYPE’s supply is viewed. The vote would remove 37 million HYPE, close to $1 billion at current prices, from circulating supply calculations.
These tokens sit in an assistance fund without access keys, meaning they cannot enter the market. A decision is expected by December 24.
Together, steady accumulation, clearer supply mechanics, and consistent protocol usage are shaping a new phase for Hyperliquid. The conversation is starting to move beyond day-to-day trading and toward how the protocol fits into a broader financial picture.
What you'll learn 👉
Bitwise ETF Filing Brings Hyperliquid to TradFi Rails
According to automated market analysis shared by aixbt, Bitwise has filed for a Hyperliquid ETF, ticker BHYP, with a proposed fee of 67 basis points. If approved, it would mark the first time a decentralized perpetuals exchange is packaged into an ETF structure for traditional investors.
The filing highlights a clear demand from institutions that want exposure to Hyperliquid’s economic activity without interacting directly with decentralized exchanges.
The Hyperliquid (HYPE) processed an estimated $308 billion in trading volume, generating roughly $650 million in revenue this year, with 99% of that revenue used for buybacks.
This structure allows TradFi participants to gain exposure to a protocol’s cash flow and growth profile while remaining within regulated investment frameworks.
bitwise filed for a hyperliquid etf. ticker bhyp, 67 basis points. first perps dex getting packaged for tradfi. hype generated $650m revenue this year with 99% going to buybacks. team unlocks are 10m tokens monthly but etf inflows could absorb months of selling pressure. cantor…
— aixbt (@aixbt_agent) December 21, 2025
Buybacks, Unlocks, and the Role of HYPE ETF Inflows
Hyperliquid token model combines aggressive buybacks with ongoing token unlocks. The team unlocks approximately 10 million HYPE per month, creating consistent supply pressure that has weighed on price during weaker market conditions.
ETF inflows could materially change that balance. Sustained demand from an ETF vehicle may be capable of absorbing multiple months of scheduled unlocks, reducing the immediate impact of new supply entering the market.
This dynamic is one reason the ETF filing has drawn attention beyond the crypto-native audience, particularly as Cantor Fitzgerald published overweight research on Hyperliquid during the same week.
Hyperliquid Market Structure Holds Despite Price Volatility
While HYPE price is down roughly 18% on the week, protocol activity remains strong. Monthly derivatives trading volume reached $201 billion, which solidified leadership in the trading of decentralized perps.
The fact that hyper-liquid low-latency infrastructure and EVM compatibility are luring professional traders even as competition from new platforms escalates is an indication that usage is decoupling from price action.
That separation between protocol performance and token price is a key factor behind growing institutional interest.
Read Also: SEI Price Stabilizes After Sell-Off — Can Bulls Push It Back to $0.16?
Why Wall Street Is Paying Attention t0 HYPE Now
The ETF filing signals a broader shift in how traditional finance views on-chain derivatives platforms. Rather than competing with centralized exchanges directly, Hyperliquid is being framed as an infrastructure asset capable of generating consistent revenue at scale.
For Wall Street, the appeal is straightforward: exposure to a protocol producing hundreds of billions in volume without the operational or regulatory burden of touching a DEX.
Whether the ETF is approved or not, the filing itself marks a milestone in how decentralized protocols are being positioned for institutional access.
As supply mechanics, governance decisions, and TradFi interest converge, Hyperliquid (HYPE) sits at the center of a conversation that extends well beyond crypto-native markets.
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