Hyperliquid Strategies is making a bold move to deepen its investment in HYPE, the token powering the world’s largest decentralized derivatives platform. The firm has filed with the US Securities and Exchange Commission to raise up to $1 billion through a stock offering, aiming to boost its crypto treasury and acquire additional HYPE tokens. This plan, revealed in an S-1 registration statement, will see the issuance of up to 160 million common stock shares, with Chardan Capital Markets acting as financial adviser.
Formed through the pending merger of Nasdaq-listed Sonnet BioTherapeutics and the special purpose acquisition company Rorschach I LLC, Hyperliquid Strategies will be led by CEO David Schamis, with former Barclays CEO Bob Diamond as chairman. Upon closing the deal, the combined entity is expected to hold 12.6 million HYPE tokens valued at nearly $470 million, alongside $305 million in cash reserved for further token purchases. This aggressive treasury strategy positions Hyperliquid Strategies to become the largest corporate holder of HYPE.
This move reflects a growing trend among companies leveraging equity and financial instruments to build significant crypto treasuries beyond Bitcoin and Ethereum. While the sustainability of such altcoin treasury strategies can be uncertain during market downturns, Hyperliquid’s strong performance in the rapidly expanding decentralized perpetual futures market suggests resilient demand.
Notably, decentralized perpetual swap (perp) trading has been surging, with October’s volume topping $1 trillion in just 23 days—smashing previous records. Hyperliquid leads this trend with $317.6 billion in trading volume for the month, outpacing competitors like Lighter, Aster, and edgeX. The growth underscores the platform’s growing influence and the strategic importance of Hyperliquid Strategies’ planned expansion.
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