Hyperliquid Strategies raises $1 billion to bolster HYPE's treasury. Photo: Bloomberg
Ambition to raise $1 billion
- Hyperliquid Strategies filed an S-1 filing with the US Securities and Exchange Commission (SEC) for an initial public offering (IPO), aiming to raise up to $1 billion .
- According to the filing on October 22, the company plans to issue 160 million common shares. Chardan Capital Markets Vai as financial advisor for the deal.
- The filing also clearly states that the company can continue to issue shares in the future, not just stopping at a single IPO.
- Hyperliquid Strategies is essentially a merged entity formed from biotech company Sonnet BioTherapeutics and SPAC Rorschach I LLC. The merger was announced in July and is expected to close this year, creating a new Nasdaq-listed company focused on building a crypto treasury for the Hyperliquid ecosystem.
- After the deal is completed, the company will trade under a new (undisclosed) stock symbol, with the leadership team including Bob Diamond, former CEO of Barclays, as Vai ; David Schamis, as CEO.
Capital use objectives
- According to the filing with the SEC, Hyperliquid Strategies said that all of the Capital raised will be used for general business operations, with the top priority being to expand the HYPE treasury through Token buybacks. The company currently holds 12.6 million HYPE Token and $305 million in cash.
- In the implementation strategy section, the company affirmed that it will Staking most of the HYPE it holds to generate recurring revenue from Staking rewards, and XEM participating in other DeFi activities after completing internal assessments.
- In parallel, many new data shows that Hyperliquid is promoting the Token“buyback” mechanism. The platform has bought back about 21.36 million HYPE (equivalent to 2.1% of the total supply) through 97% of transaction fees, meaning that more than 645 million USD has been reinvested in reducing supply and increasing Token scarcity.
- In addition to Hyperliquid Strategies, other institutions are also shifting Capital to HYPE. A notable example is Lion Group Holding (NASDAQ: LGHL), which announced the conversion of most of its SOL and Sui assets to HYPE; or medical company Eyenovia, which raised $50 million to buy HYPE in June.
Hyperliquid grows strongly
- Launched in 2023, Hyperliquid quickly emerged as a decentralized Derivative exchange (DEX) specializing in perpetual futures.
- To date, the platform has processed over $1.5 trillion in volume, making it one of the most liquid and liquidation DEXs in the on-chain Derivative market.
- Hyperliquid's HYPE token is set to launch in 2024, with a total supply of 1 billion Token, of which 38% will be allocated to the community. The Hyperliquid community is also XEM reducing the Token supply by up to 45% and removing the Hard Cap, in order to re-engineer tokenomics to maintain momentum and long-term value stability.
- HYPE price increased by 7.1% in the last 24 hours to $37.22. on-chain data reflects that many “whales” are actively accumulating HYPE to deal with potential liquidation positions.
HYPE price movement in the last 24 hours, screenshot on CoinGecko at 12:10 PM on October 23, 2025
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