Financial data not available for this filing type.
View filing on EDGAR ↗Business Overview
21Shares Hyperliquid ETF is a newly formed exchange-traded fund that tracks the performance of the FTSE Hyperliquid Index (HYPE) and seeks to reflect rewards from staking a portion of its HYPE holdings. The Trust was formed on July 24, 2025, and commenced operations with initial seed capital on March 18, 2026, trading on Nasdaq under ticker symbol THYP. The Trust holds HYPE at dual custodians (Anchorage Digital Bank and BitGo Bank & Trust) and generates revenue through staking activities facilitated by Figment Inc., with the Trust retaining 70% of staking rewards after custodian and service provider compensation.
Segment Performance
The Trust operates as a single segment. During the period from March 18, 2026 (initial seeding) through March 31, 2026, the Trust had minimal operations consisting only of the Initial Seed Shares transaction: the Sponsor purchased 2 shares at $50.00 per share (total $100 proceeds) on March 18, 2026, and these shares were redeemed on March 23, 2026. As of March 31, 2026, total assets, liabilities, and net assets were all zero, with no HYPE holdings and zero shares outstanding, as the Trust had not yet commenced public trading operations.
Forward Guidance
The Trust 'intends to pay cash distributions to Shareholders at least quarterly' from staking rewards earned. The Trust 'intends to operate so that it will qualify to be treated for U.S. federal income tax purposes as a grantor trust.' The prospectus notes that staking rewards are variable consideration based on 'the amount of the HYPE holdings the Trust has made available to the network, the staking yield, and other factors.' No specific financial targets or outlook guidance is provided in this section.
Key Risk Factors
Key risks include: (1) regulatory and tax uncertainty regarding grantor trust status and staking treatment, as the IRS safe harbor for digital asset staking in grantor trusts is newly established and could be subject to adverse interpretation; (2) operational constraints from the mandatory seven-day unbonding period for staked HYPE, which could limit the Trust's ability to meet share redemptions; (3) dependence on third-party service providers (Figment Inc. for staking, HYPE Custodians, and exchanges) and potential counterparty risk from HYPE Counterparties used in cash creation/redemption transactions; (4) market liquidity and pricing risk related to determining the principal market for HYPE valuation; and (5) concentration risk inherent in tracking a single digital asset.