Grayscale files for HYPE ETF as Hyperliquid dominance draws Wall Street interest

Grayscale, a cryptocurrency asset manager overseeing approximately $35 billion in assets, has submitted a proposal to list the Grayscale HYPE ETF, which tracks the Hyperliquid token, amid Wall Street’s growing attention to Hyperliquid’s popularity.

 Moreover, it has secured the top ranking as the largest on-chain perpetual contracts platform. Meanwhile, Grayscale noted that if the authorities grant the proposal a green light, the Grayscale HYPE ETF would trade on Nasdaq under the ticker symbol GHYP, according to an S-1 filing. At this time, reports from reliable sources indicate that this fund will adopt a similar structure to other Grayscale offerings, using Coinbase Custody and CoinDesk’s Benchmark data for pricing.

It was also discovered that HYPE staking is presently prohibited, though analysts noted that a “Staking Condition” could be satisfied at a later date, citing information retrieved from the filing. Notably, Hyperliquid is highly recognized as a high-performance, decentralized exchange (DEX) built on its own custom Layer 1 blockchain.

Grayscale makes a significant move in the crypto industry 

Earlier this year, Grayscale announced plans to introduce exchange-traded funds for Hyperliquid and BNB. To demonstrate the seriousness of the situation, the firm first submitted the products’ statutory trusts to the Delaware Division of Corporations. This step is important to the company because it enables Grayscale to proceed to the next step: submitting a formal ETF filing with the US Securities and Exchange Commission (SEC). 

Notably, information from the official state website disclosed that Grayscale registered both the products’ statutory trusts on January 8, 2026. Under this registration, Grayscale BNB Trust’s file number is 10465871, and that of Grayscale HYPE Trust is 10465863. 

After the release of this report, sources highlighted that the cryptocurrency asset manager was expected to submit an S-1, a registration statement, to the SEC. In this registration statement, Grayscale was required to correctly detail the planned ETF’s structure, investment strategy, compliance measures, and risks.

As expected, Grayscale recently filed an S-1 with the SEC. Nonetheless, analysts acknowledge that the agency’s cautious approach to digital assets makes the timeline for review or approval uncertain.

Moreover, they insisted that a shift in the regulations governing the approval of crypto ETFs has occurred. For instance, the SEC approved general listing standards for crypto-based exchange-traded products, eliminating the need for Section 19(b) submission requirements for numerous cases. While this change eases listing requirements for qualified crypto ETFs, each product will still undergo rigorous scrutiny.

After these changes were implemented, Paul Atkins, the Chairman of the US Securities and Exchange Commission, sparked hope in the crypto ecosystem after stating that he had initiated the approval process of various crypto-related funds. 

Responding to the chairman’s statement, several industry leaders admitted that Hyperliquid has rapidly gained attention despite being a relatively new entrant to the crypto industry. Meanwhile, although 

Users based in the US currently lack access to the decentralized exchange (DEX). The newly formed Hyperliquid Policy Center is actively lobbying in Washington, D.C.

Grayscale follows 21Shares’s lead 

While there has been a shift in the regulations governing the approval of crypto ETFs, sources stressed that staking rewards are still being adopted slowly. At this point, analysts discovered that, apart from Grayscale, other companies such as 21Shares and Bitwise also submitted applications to the SEC for exchange-traded funds (ETFs) tracking Hyperliquid (HYPE) towards the end of last year.

21Shares filed for regulatory approval to launch a passive Hype token ETF to track the digital asset’s price just one week after the company agreed to be acquired by digital asset trading firm FalconX. This move demonstrated money managers’ and institutions’ heightened interest in ETFs as they seek to allocate significant funds to this fast-growing asset class via traditional platforms. 

This was after the SEC eliminated the last obstacle for various new spot ETFs linked to digital assets such as Solana and Dogecoin in September. Even so, reports highlighted that the US government shutdown forced the federal agency to focus on emergencies, putting non-essential work, such as ETF application reviews, on hold.

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