Grayscale launches lowest-fee U.S. Hyperliquid ETF as competition heats up around HYPE

Sponsor Fee

0.29%

The fee charged by Grayscale for the Hyperliquid Staking ETF, making it the lowest among U.S. Hyperliquid ETFs.

Historical Staking Rewards

2.2%

Average annual staking rewards generated by the HYPE token, as cited by Grayscale.

Hyperliquid Revenue

$857 million

The revenue generated by the Hyperliquid protocol during 2025, highlighting its market strength.

§ 01 Executive Snapshot

What: Grayscale launches the Grayscale Hyperliquid Staking ETF (HYPG) with the lowest fee among U.S. Hyperliquid ETFs.
Who: Grayscale, 21Shares, Bitwise, and Hyperliquid protocol users.
Why it matters: The launch signifies increasing institutional interest in Hyperliquid and competitive pricing in the emerging crypto ETF market.

Grayscale's new ETF charges a 0.29% sponsor fee, undercutting 21Shares' 0.30% and Bitwise's 0% promotional fee (rising to 0.34%).
The ETF aims to provide exposure to HYPE while generating staking returns, with historical averages of about 2.2% annually.
Hyperliquid reportedly generated approximately $857 million in revenue during 2025, indicating its strong market position.

The launch of the Grayscale ETF reflects a growing trend in institutional investors seeking exposure to decentralized finance (DeFi) projects, especially those with revenue-generating mechanisms.
Hyperliquid's evolution from a decentralized perpetual futures exchange to a broader blockchain ecosystem highlights the potential of on-chain market infrastructure.

The competitive pricing of Grayscale's ETF may lead to a price war among crypto ETF providers, potentially driving down fees across the market.
The focus on staking and revenue generation may shift institutional investment strategies towards crypto-native infrastructure projects.

Potential regulatory scrutiny regarding the structure and operations of crypto ETFs could pose challenges for Grayscale and its competitors.
Competition from established financial institutions and emerging DeFi protocols could impact market share and profitability.

Future developments in Hyperliquid's revenue generation and staking rewards will signal the success of Grayscale's ETF.
Watch for updates on regulatory actions that may affect the operation of crypto ETFs as the market continues to evolve.

§ 07

What is the Grayscale Hyperliquid Staking ETF?

The Grayscale Hyperliquid Staking ETF (HYPG) is a new ETF launched by Grayscale that offers the lowest fee among U.S. Hyperliquid ETFs.

Why does the launch of this ETF matter?

The launch signifies increasing institutional interest in Hyperliquid and competitive pricing in the emerging crypto ETF market.

How much is the sponsor fee for Grayscale's new ETF?

Grayscale's new ETF charges a 0.29% sponsor fee, which is lower than 21Shares' 0.30% and Bitwise's promotional fee.