Bitwise Files S-1 with SEC for Spot Hyperliquid ETF | BanklessTimes

Bitwise Asset Management has filed an S-1 registration with the SEC to launch the first spot ETF for HYPE, the native token of the Hyperliquid blockchain.

This groundbreaking filing represents the first attempt to create a regulated ETF for a major DeFi protocol beyond Bitcoin and Ethereum. The proposed fund would hold physical HYPE tokens through Coinbase Custody, allowing traditional investors to gain exposure to the Hyperliquid ecosystem without direct blockchain interaction. The ETF structure includes in-kind creation and redemption mechanisms to minimize operational costs and friction.

• First DeFi protocol ETF outside Bitcoin and Ethereum to seek SEC approval
• Physical token custody model eliminates need for self-storage or direct blockchain access
• In-kind share creation reduces costs compared to traditional cash-based methods
• Extended review period expected due to lack of regulated HYPE futures contracts for surveillance