Grayscale Hyperliquid Staking ETF Adds BitGo as New Custodian
Grayscale Hyperliquid ETF Staking Update and HYPE Holdings Explained
Grayscale has added BitGo Bank & Trust as a custodian for the HYPE tokens it holds, according to a filing dated October 5. The Grayscale Hyperliquid staking ETF, trading as HYPG, manages about $217.8 million in assets.
The $HYPE token price today also surged 3.74% over 24 hours following the CFTC new crypto rules.
Source: SEC Official
Why the BitGo Custody Amendment Matters for HYPG Fund Shareholders
The disclosure came in a Form 8-K submitted to the SEC on October 5. It describes an amendment that took effect on September 30. BitGo now sits alongside the custodians already in place, which spreads safekeeping across more than one institution.
For a fund that keeps nearly all of its crypto tokens staked, that is a practical gain in operational resilience.
The trust began trading on Nasdaq on June 3, a day after the SEC declared its registration effective. It was renamed from Grayscale HYPE ETF in late May and became the third major U.S. spot $HYPE product to list. Details are on Grayscale's fund page.
One structural point deserves attention. HYPG is a grantor trust, not a fund registered under the Investment Company Act of 1940, so shareholders lack some protections that mutual funds provide. Shares represent a fractional interest in the trust's $HYPE, not direct ownership of tokens.
How the Grayscale Hyperliquid staking ETF Works: The Reward System
The HYPG trust stakes roughly 89% to 91% of its tokens. Gross rewards recently ran near 2.26%, with about 1.69% left after fees and expenses. That income lifts net asset value and supports monthly distributions. At 0.29%, the management fee was the lowest among U.S. spot HYPE products at launch.
Staking brings a trade-off, because locked tokens can be temporarily illiquid. Key figures as of October 6, from Grayscale:
Assets under management: about $217,753,338 million
Shares outstanding: 6.54 million
NAV per share: about $33.30, with a market price near $33.35
$HYPE held: about 2.31 million tokens
Net staking yield: about 1.69%
Daily volume has ranged from tens to low hundreds of thousands of shares. Inflows have been uneven but steady since launch.
HYPE Token Price Today: Current Numbers
Hyperliquid crypto news on Tuesday centered on a firm crypto market. A $HYPE token price surge of 3.74% pushed the token above $95 before a modest pullback. Trading activity more than doubled.
Market data as of October 6, via CoinMarketCap:
Price: $93.60, up 3.74% in 24 hours
Market cap: $23.45 billion, up 3.69%
24-hour volume: $1.18 billion, up 123.2%
Circulating supply: 250.6 million HYPE
Fully diluted valuation: $89.01 billion
At that price, the trust's 2.31 million tokens equal under 1% of circulating supply.
Other Hyperliquid ETFs: Fees, Flows and the Road Ahead
Two peers set the benchmark.
The 21Shares Hyperliquid Staking ETF (THYP) launched around May 12, charges 0.30% and holds about $93 million.
The Bitwise Hyperliquid ETF (BHYP) arrived in mid-May, charges roughly 0.34% and holds nearly $203 million (2.18M $HYPE).
Together, the three spot funds hold about $478 million, close to 2% of HYPE's market cap. Other vehicles include the 21Shares 2x Long HYPE ETF (TXXH) and treasury company Hyperliquid Strategies (PURR).
This HYPE ETF update shows a contest over fees, staking efficiency and custody. Perpetual futures regulation, token unlocks and competition among perps venues will shape flows from here.
With broader custody support, the Grayscale Hyperliquid staking ETF enters the next phase of a category worth about 2% of HYPE's market cap. Fee levels, staking yield and the regulatory treatment of perpetual exchanges will decide which fund gains the most ground.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Crypto markets carry significant risk. Always do your own research before making any investment decisions.
