By Bitwise HYPE ETF becomes world’s largest after $19M inflow, CEO says
Bitwise CEO Hunter Horsley said the Bitwise Hyperliquid ETF recorded about $19 million in daily inflows, marking the fund’s largest single-day inflow so far.
Summary
- Bitwise’s BHYP recorded its largest daily inflow as buyer demand dominated Tuesday’s trading volume.
- Spot HYPE ETFs absorbed 1.04% of market cap within their first 10 trading days.
- The inflow surge came as Bitcoin and Ether ETFs faced heavier redemptions during May trading.
He said total trading volume was about $22 million, which suggested that most of the session’s activity came from buying.
Horsley also said BHYP is now the largest Hyperliquid ETF in the world. In his post, he wrote, “Incredible to see investor interest.” The comment came less than two weeks after Bitwise launched the fund on the New York Stock Exchange.
The fund’s rise follows its May 15 debut. As previously reported by crypto.news, BHYP launched with a 0.34% sponsor fee, waived for the first month on the first $500 million in assets.
Bitwise’s main website also lists the Bitwise Hyperliquid ETF, under ticker BHYP, as available on the NYSE. The company says investors should review the prospectus and risk factors before investing in any Bitwise ETP.
HYPE ETF demand beats larger crypto debuts
Kairos Research data showed spot HYPE ETFs absorbed 1.04% of Hyperliquid’s market capitalization during their first 10 trading days. That placed HYPE ahead of early spot Bitcoin, Ether, and Solana ETF demand on a market-cap-adjusted basis.
The same comparison showed Bitcoin ETFs absorbed 0.59%, Ether ETFs absorbed 0.41%, and Solana ETFs absorbed 0.31% of each asset’s market value during the same early trading window. The metric does not mean HYPE ETFs raised more money in absolute terms, but it shows stronger relative demand for the asset.
That data gives BHYP’s record inflow more market context. HYPE remains smaller than Bitcoin and Ether, but ETF demand has been strong relative to the size of the Hyperliquid market.
Bitwise adds fee-buyback link to HYPE
Bitwise has tried to align BHYP with Hyperliquid’s token model. As previously reported, Bitwise said it would devote 10% of the management fee from BHYP to holding HYPE on its balance sheet.
The firm said the move mirrors Hyperliquid’s own structure, where roughly 99% of protocol revenue goes through the Assistance Fund to repurchase HYPE. The setup creates a second demand channel beyond ETF inflows and staking rewards.
Bitwise CIO Matt Hougan said, “Hyperliquid’s token is explicitly designed so that rising trading activity on the Hyperliquid platform directly benefits token holders.” He added that the asset had produced strong historical returns.
The structure helped Bitwise stand out from competing Hyperliquid products. 21Shares’ THYP drew about $1.2 million in first-day inflows, while BHYP launched later and has since pushed ahead in cumulative demand.
Hyperliquid gains while Bitcoin and Ether funds cool
The HYPE ETF inflow surge came as larger crypto ETF categories faced selling pressure. SoSoValue data showed Bitcoin spot ETFs recorded nearly $334 million net outflow on May 26, while Ethereum spot ETFs saw about $35.03 million in net outflows.
That contrast makes the BHYP move more notable. While Bitcoin and Ether funds remain far larger, the latest flows show investors are willing to rotate into smaller, faster-growing crypto themes during weak large-cap ETF sessions.
As crypto.news reported, HYPE gained attention after Circle became the technical deployment partner for USDC on Hyperliquid, while Coinbase became the official USDC treasury deployer. USDC remains the main collateral and quote asset across Hyperliquid’s trading ecosystem.
