Bitwise Second Revision Hyperliquid ETF: BHYP code confirmation fee rate 0.67%

The crypto derivatives sector is at a critical window of structural transformation. Over the past few years, the on-chain perpetual contract market has shifted from an “infrastructure validation” phase to a “scaling growth” stage. In this transformation, Hyperliquid has gradually evolved from a dark horse into a core protocol dominating the on-chain derivatives market share.

As of April 13, 2026, data from Gate indicates that Hyperliquid’s native token HYPE is priced at $41.52, with a 24-hour increase of 1.64%, and a total rise of approximately 154.53% over the past year, with a market cap of about $9.9 billion. Meanwhile, on April 10, Bitwise submitted a second revision of its Hyperliquid ETF application to the U.S. Securities and Exchange Commission, confirming the product code as BHYP, with a management fee of 0.67%. On April 11, BitMEX co-founder Arthur Hayes added approximately $1.1 million to his HYPE holdings, bringing his total position to about $10.44 million.

These events are not isolated. They collectively point to a question: under the multiple effects of ETF policy dividends, rapid protocol revenue growth, and increasing institutional attention, is Hyperliquid at a turning point from a “DeFi star project” to a “core asset of derivatives infrastructure”? This article will systematically analyze this question from four dimensions: background context, data dissection, public opinion, and scenario projection.

Bitwise ETF Second Revision Submission: Product Code and Fee Structure Confirmed

On April 10, 2026, Bitwise Asset Management submitted its second amendment (S-1 Amendment No.2) for the Hyperliquid spot ETF application to the SEC. The document clearly states that the ETF will be listed on the NYSE Arca platform, with the trading code BHYP and a management fee of 0.67% (67 basis points).

Additionally, the ETF sets a secondary goal: to generate extra HYPE yields for investors through a staking mechanism, distinguishing it from traditional spot token wrapping products. Bloomberg senior ETF analyst Eric Balchunas pointed out that clarifying the trading code and fee structure usually indicates the product is close to official launch. He also mentioned that HYPE has risen about 200% over the past year, and Bitwise is “riding the wave.”

Against this backdrop, on April 11, on-chain data monitoring platform Lookonchain detected that Arthur Hayes bought another 26,022 HYPE tokens, worth about $110,000, after nearly three months. Including previous holdings, Hayes now holds a total of 247,334 HYPE tokens, valued at about $10.44 million, with unrealized gains exceeding $2.5 million.

The high coincidence in timing of these two pieces of information has sparked widespread discussion about Hyperliquid’s current development stage and valuation outlook.

Dual Signals: ETF Application Progress and Institutional Holdings Changes

To understand the significance of these signals, it’s necessary to review the full application process of Hyperliquid ETF. In September 2025, Bitwise was the first among three applicants to submit an ETF application to the SEC. One month later, 21Shares filed a similar application. By late March 2026, Grayscale also joined the race.

The second revision submitted on April 10, 2026, marks that Bitwise has entered a substantive advancement phase in the approval process. Based on historical experience, once applicants supplement details like trading code and fee structure, they typically enter the SEC’s formal review window within 2 to 4 weeks.

Simultaneously, another timeline involves Arthur Hayes’ position movements. Hayes first established a position in HYPE around late 2025 or early 2026. The April 11 buy-in was his first addition in nearly three months, with an average purchase price of about $42.27.

The submission of the second ETF revision signals that Bitwise is cautiously optimistic about approval prospects. In ETF approval processes, applicants usually do not add commercial details like fee structure and trading code unless they are confident. Bloomberg analyst Eric Balchunas’ public comments further reinforce this market expectation.

Hayes’ buy-in has dual significance. As co-founder of BitMEX, Hayes has long and deep experience in derivatives. His unrealized gains exceeding $2.5 million, and his continued purchase at current prices, indicate an independent judgment of HYPE’s medium- to long-term value.

Token Circulation Model and Protocol Financial Profile

Price and Market Cap

According to Gate data, as of April 13, 2026, HYPE is priced at $41.52, with a 24-hour trading volume of about $6.4 million, a market cap of approximately $9.9 billion, and a fully diluted market cap of about $39.97 billion, with a market cap to fully diluted supply ratio of 23.84%. The all-time high was $59.4, and the low was $0.01181. Over the past year, the cumulative increase was about 154.53%.

Token Circulation Structure

HYPE’s maximum supply is 1 billion tokens. The current circulating supply is about 238 million, accounting for roughly 24.8% of the total supply of 962 million. This means over 75% of tokens are yet to enter circulation, and future unlocking pace will directly impact supply-demand dynamics.

Protocol Revenue and Market Share

Over the past 180 days, Hyperliquid has generated approximately $1.1M in protocol revenue. This figure ranks among the top in DeFi protocols, second only to a few stablecoin issuance protocols. In the on-chain derivatives perpetual market segment, Hyperliquid’s market share ranges from about 61.9% to 70%, handling trading volume exceeding all other decentralized exchanges combined.

In Q1 2026, Hyperliquid processed about $492.7 billion in nominal derivatives trading volume, a significant increase from the same period in 2025. For the full year 2025, the platform’s nominal trading volume approached $2.6 trillion, nearly twice that of Coinbase.

Revenue Distribution Mechanism

Hyperliquid allocates about 97% of trading fee income to buy back and burn HYPE tokens, creating a deflationary cycle of “volume growth → fee increase → buyback acceleration → reduced circulating supply.”

From a fundamental perspective, Hyperliquid’s financial model features three notable traits: first, revenue is highly concentrated in perpetual contract fees, not relying on token incentives to boost trading activity; second, the protocol’s revenue scale approaches some core business lines of major centralized exchanges; third, the buyback and burn mechanism links token supply directly to protocol performance.

However, the current 23.84% circulating market cap share implies potential selling pressure from unvested tokens. In early April, about 9.92 million HYPE tokens, worth roughly $375.8 million, were unlocked, representing about 2.66% of the circulating supply at that time. The future unlocking pace and market absorption capacity will be key variables influencing the token’s medium-term price trajectory.

Market Divergence and Narrative Game: ETF Expectations vs. Valuation Logic Clash

Current market discussions about Hyperliquid mainly revolve around three main threads.

Main Thread 1: ETF Signal Significance

Bloomberg analyst Eric Balchunas explicitly stated on social platform X that Bitwise’s supplement of trading code and fee details “usually means the product is not far from market.” This judgment is based on his long-term tracking of ETF application processes and is cited by multiple industry media.

Main Thread 2: Valuation Divergence

There is a clear divergence in valuation expectations. Optimists, represented by Arthur Hayes, believe HYPE could reach $150 by August 2026. Their valuation logic assumes annual revenue could reach $1.4 billion and applies a 30x revenue multiple.

Pessimists argue that a $9.9 billion market cap already embeds high growth expectations. Some analyses suggest that to justify current valuation, Hyperliquid’s trading volume would need to reach about $51 trillion annually—an amount far exceeding the current industry scale.

Main Thread 3: Evolving Competitive Landscape

The entry of Grayscale and 21Shares into ETF applications indicates that three major asset managers have now included Hyperliquid in their institutional product plans. Market focus has shifted from “whether institutions will apply for an ETF” to “which firm’s Hyperliquid ETF will be approved first.”

These three viewpoints reflect different market participant perceptions. The short-term price boost from ETF narratives and the protocol’s fundamentals are separated by a “cognitive lag”—market expectations of ETF approval are partly priced in, but the potential impact on liquidity structure and institutional access post-approval has yet to be fully recognized.

The root of valuation divergence lies in differing judgments on whether Hyperliquid can sustain its current revenue growth rate. Optimists tend to extrapolate the current trend linearly, while cautious analysts emphasize the cyclical nature of crypto derivatives markets, warning that periods of low volatility could lead to temporary revenue declines.

Industry Ripple Effects: From ETF Category Expansion to Token Economy Paradigm Shift

Impact on ETF Product Landscape

If Bitwise’s Hyperliquid ETF is approved, it will become the third physically-backed crypto ETF in the U.S., after Bitcoin and Ethereum ETFs. More importantly, it will be the first ETF based on DeFi application layer protocol tokens, marking an extension of institutional-grade crypto products from “underlying assets” to “application layer assets.”

Impact on On-Chain Derivatives Sector

Hyperliquid’s ongoing growth is reshaping the competitive landscape of on-chain derivatives. Previously, decentralized perpetual markets showed a multi-stronghold pattern. Over the past year, Hyperliquid has continuously siphoned trading volume due to its performance advantages and liquidity depth, increasing its market share from about 30% to over 60%, forming a de facto oligopoly.

Impact on Token Economic Model Paradigm

Hyperliquid’s “97% of revenue used for buyback and burn” mechanism creates a direct transmission channel from protocol performance to token value. The success of this model could promote more DeFi protocols to shift from a “governance token” paradigm toward a “cash flow rights token” paradigm.

If the Hyperliquid ETF is approved, its influence will extend beyond a single asset, constituting a boundary expansion for crypto ETF products. It signals that regulators’ acceptance of crypto assets is extending from “mainstream consensus assets” like Bitcoin and Ethereum to revenue-generating application layer protocols. Once this trend is established, it could open institutional access pathways for leading DeFi protocols like Uniswap and Aave.

Baseline, Optimistic, Cautious, and Extreme Risk Pathways

Baseline Scenario

Bitwise’s Hyperliquid ETF is approved in Q3 2026 and begins trading. Initial month net fund inflows are about $500 million to $1.5 billion. Continuous institutional buying via ETF channels provides incremental support for HYPE. Meanwhile, Hyperliquid’s protocol revenue maintains its current growth rate, with HIP-4 upgrade scheduled for Q2 2026, introducing permissionless prediction markets and options derivatives, further expanding revenue sources. Token unlocks and market demand reach a dynamic balance, avoiding large-scale sell-offs.

Optimistic Scenario

ETF approval proceeds faster than expected, with Grayscale and 21Shares’ similar products also approved, forming multi-channel institutional inflows. Hyperliquid’s on-chain trading volume continues to rise, with protocol annualized revenue surpassing $1 billion, and the 97% buyback and burn ratio steadily shrinking circulating supply. The success of S&P 500 perpetual contracts attracts more traditional financial asset issuers to deploy products on Hyperliquid, expanding platform assets from single crypto assets to multi-asset derivatives.

Cautious Scenario

ETF approval is delayed to late 2026 or early 2027, with no new major catalysts during this period. The crypto market enters a low-volatility cycle, and Hyperliquid’s protocol revenue declines by 30% to 50%—a retracement within historical volatility ranges. Meanwhile, ongoing token unlocks combined with revenue downturns may weaken market confidence, causing short-term supply-demand imbalance.

In this scenario, HYPE’s price may undergo a correction, but the protocol’s competitive moat—over 60% market share, mature buyback and burn mechanism, expanding asset categories—will provide downside support. The extent of correction depends on the balance between unlock volume and market absorption capacity.

Extreme Risk Scenario

Potential risks include: first, SEC’s regulatory review exceeding expectations, impacting ETF approval; second, emergence of new technical paradigms in on-chain derivatives that challenge Hyperliquid’s market position with lower fees or higher performance; third, regulatory adjustments in major jurisdictions affecting user access and operational models.

Conclusion

Hyperliquid is at a key stage of evolving from a “racehorse” to an “infrastructure-level protocol.” The submission of Bitwise’s second ETF revision, Hayes’ continued accumulation, and the over $3.9 billion in protocol revenue over the past 180 days collectively provide three perspectives to observe its current development phase.

It’s important to recognize that crypto derivatives are inherently cyclical. Hyperliquid’s current approximately 62% market share is an advantage but also a ceiling—further growth depends on the overall expansion of the on-chain derivatives market and whether new product lines like HIP-4 can successfully open incremental markets.

For market participants interested in this sector, key indicators to monitor include: progress in ETF approval milestones, trends in protocol monthly revenue and trading volume, market performance before and after token unlock events, and the rollout and user acceptance of new features post-HIP-4 upgrade. Changes in these data points will collectively outline Hyperliquid’s next development trajectory.