21Shares HYPE ETF became the latest filing on October 29, when the Swiss asset manager actually submitted its S-1 registration to the SEC. The 21Shares HYPE ETF is seeking to track Hyperliquid’s native token, and right now, altcoin ETF demand has been surging across the market. The SEC is reviewing over 150 crypto ETF filings in 2025 at the time of writing, and this application comes as Hyperliquid token hype builds among institutional investors. SEC approval for the crypto ETF remains pending, with the fund planning to stake between 70% and 90% of holdings to even generate additional returns.
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Rising Altcoin ETF Demand Fuels 21Shares’ Hyperliquid Push
The 21Shares HYPE ETF was filed through CSC Delaware Trust Company, along with Coinbase Custody and BitGo Trust Company being named as custodians. According to the S-1 document, the trust operates as a passive investment vehicle that doesn’t seek to generate returns beyond tracking the price of HYPE tokens, the native digital asset of the Hyperliquid blockchain network. The 21Shares HYPE ETF structure actually avoids leverage and derivatives entirely.
Staking Strategy Built Into Fund Design
The filing included some details about the staking strategy. The asset manager noted that the Trust may stake a maximum of 100% of its HYPE holdings, though the Trust’s Utilization Rate analysis determines how much HYPE remains unstaked, and this amount may vary from time to time. Applying Utilization Rate analysis to historical data, the Trust generally intends to stake between 70% and 90% of the HYPE it holds.
Trading Volumes Show Strong Market Interest
Bitwise’s Solana ETF (BSOL) was launched on October 28 and posted $56 million in first-day trading volume—actually the strongest debut among over 850 new ETFs in 2025. Day two saw $72 million traded, which demonstrates sustained altcoin ETF demand. Canary Capital’s Hedera ETF (HBR) along with the Litecoin ETF (LTCC) also debuted that day, recording $8 million and $1 million respectively.
Bloomberg’s senior ETF analyst Eric Balchunas had this to say:
“HBR and LTCC did about the same as their Day One ($8 million and $1 million respectively), which is still strong (most ETFs drop after day one hype is over).”
On the 21Shares HYPE ETF filings, Balchunas stated:
“This is the kind of filing where you’re like man, that is SO niche, idk.. but then you could look up in 3-4yrs it’s got a few billion. Just a total land rush right now, just like with themes, curr hedging and smart beta in eras past.”
Multiple Firms Chase Institutional Market
The 21Shares HYPE ETF joins similar applications from Bitwise and VanEck as multiple firms are pursuing SEC approval for crypto ETF products. This wave of crypto ETF filings 2025 actually reflects institutional appetite for altcoin exposure beyond Bitcoin and Ethereum. The Hyperliquid token hype has been attracting asset managers who are seeking to capitalize on DeFi protocols. Whether the 21Shares HYPE ETF receives approval depends on regulatory review of custody arrangements and market structure, with crypto ETF filings 2025 now exceeding 150 applications that are under SEC consideration.
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