21Shares Proposes Hyperliquid Governance Token ETF Amid DeFi Surge
Swiss issuer 21Shares has filed with the U.S. SEC to launch a Hyperliquid ETF tracking the Hyperliquid governance token of a decentralized perpetual futures platform. The proposed Hyperliquid ETF would appoint Coinbase Custody and BitGo Trust as custodians, providing institutional investors regulated exposure to a leading DeFi asset without direct wallet management. On-chain metrics show the Hyperliquid DEX handles billions in monthly derivatives volume, with the token boosted by fee discounts and governance staking. Following the strong debut of Bitwise’s Solana Staking ETF – which saw over $72 million in trading volume on day two – this filing underscores growing demand for yield-bearing crypto ETF products. If approved, the ETF would expand regulated access to altcoin markets, enhance DeFi liquidity and reduce self-custody risks. Traders should monitor SEC feedback, custodial arrangements and implications for altcoin liquidity.
Bullish
Approval of the Hyperliquid ETF would likely drive institutional inflows into the Hyperliquid token, increasing demand and liquidity. In the short term, SEC feedback and custodial terms could act as catalysts, while long-term, regulated ETF access tends to support price appreciation by lowering entry barriers and reducing counterparty risks, as seen with prior yield-bearing crypto ETFs. This development signals growing institutional confidence in DeFi derivatives and is expected to have a bullish impact on the Hyperliquid token.