Key Highlights
- Bitwise said the ETF carries significant risk and that investors could lose part or all of their investment.
Bitwise Asset Management will use 10% of the fees earned from its new Bitwise Hyperliquid ETF (BHYP) to buy and hold HYPE, the digital currency used within the Hyperliquid network. This HYPE will be held as an asset on the company’s balance sheet.
On Monday, the team announced on X that Bitwise will use 10% of the management fee from its Bitwise Hyperliquid ETF (ticker: $BHYP) to purchase and hold HYPE tokens on its balance sheet.
— Bitwise (@Bitwise) May 18, 2026
Why Bitwise is buying HYPE
Bitwise explained that their system prioritizes the community, meaning the token’s success directly benefits those who own it. Because of this, Bitwise has also invested in HYPE, showing they’re not only providing access to the token through their ETF, but also believe in its long-term potential by holding some themselves.
How the BHYP ETF works
The Bitwise Hyperliquid ETF began trading on the New York Stock Exchange on May 15th. It offers investors an easy way to invest in Hyperliquid without the hassle of buying the token itself or managing digital wallets. Instead of dealing with cryptocurrency directly, investors can simply purchase shares of the ETF, and the fund takes care of everything else.
This ETF also lets you earn rewards through staking. Essentially, some of the fund’s tokens are locked up within the Hyperliquid network, thanks to Bitwise Onchain Solutions, to help keep the network running. As a reward for this support, the ETF receives additional tokens, which can contribute to its long-term growth.
The ETF also has an annual fee of 0.34%. However, for the first month, and for the initial $500 million invested, this fee will be waived. This allows early investors to avoid fees initially, potentially encouraging more investment in the fund as it launches.
Bitwise warns of high risk
Bitwise has acknowledged that its BHYP ETF is a risky investment and may not be suitable for everyone. The company warns that the ETF’s value can fluctuate significantly, and investors could lose some or all of their investment. Unlike typical ETFs or mutual funds, it doesn’t have the same safeguards in place.
This means investors need to be aware that these products are riskier than typical investments. In addition to Bitwise, 21Shares has also created a similar ETF, called THYP, which is now available on Nasdaq.
A new investment product, a 2x leveraged ETF focused on HYPE, has launched. This indicates growing interest from financial companies in providing regulated access to the Hyperliquid platform for investors.
Read More
- Silver Rate Forecast
- Gold Rate Forecast
- Pi Hotel Vietnam: First to Accept Pi Coin Payments in Real-World Transactions
- USD IDR PREDICTION
- Warsh’s Fed Debut: A June Rate Cut? Don’t Hold Your Breath, Darling
- USD TRY PREDICTION
- USD MXN PREDICTION
- EUR PKR PREDICTION
- KAS PREDICTION. KAS cryptocurrency
- Gold’s Mad Dash to $5,000: Will It Outrun Its Own Shadow?
2026-05-18 18:28