Hyperliquid Strategies Files With SEC to Raise $1B to Expand HYPE Reserve

Hyperliquid Strategies has filed an S-1 registration with the U.S. Securities and Exchange Commission seeking to raise $1 billion via a public equity offering to acquire more HYPE. This move marks one of the most significant attempts to blend on-chain assets with regulated market structures.

For background, Hyperliquid Strategies is a pending merger entity formed by Nasdaq-listed biotech firm Sonnet BioTherapeutics and special purpose acquisition company Rorschach I LLC.

Hyperliquid Strategies to Fund Additional HYPE Purchases 

Hyperliquid Strategies unveiled its plan to offer up to 160 million shares of common stock. Chardan Capital Markets is serving as its financial advisor for the offering. According to the filing, the firm intends to use the funds for general corporate purposes, including the purchase of additional HYPE. 

The company already holds approximately 12.6 million HYPE and more than $300 million in cash following its business combination earlier this year. With the proposed raise, it aims to grow its treasury and solidify its role as a leading institutional holder of HYPE.

Interestingly, the company plans to earn yield from its tokens rather than merely holding them for price appreciation. The S-1 states that Hyperliquid Strategies will “stake substantially all of its HYPE holdings” to generate ongoing rewards. This approach gives the company a recurring source of income. It also reduces the circulating supply of HYPE in the market, which could support the token’s price over time.

Meanwhile, the related merger and advisor agreements outline several investor safeguards. These include restrictions that prevent certain advisors and large shareholders from selling their shares for up to a year after acquisition. They also include standard 90-day standstill provisions for future offerings.

Market Reaction 

Following the announcement, HYPE’s market price and trading volume saw a notable surge. According to data from CoinGecko, the token jumped 12% to $38.97, while trading volume climbed 20.5% to over $711 million. The increase signals that investors are anticipating strong institutional demand from the company’s expanding treasury.

While the filing has fueled optimism, challenges remain. Hyperliquid Strategies’ ability to raise the full $1 billion will depend on investor appetite, regulatory approval, and broader market conditions. Still, linking SEC-regulated fundraising with on-chain staking signals the company’s long-term commitment to bridging traditional finance and decentralized markets.

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