21Shares Lists Spot Hyperliquid ETF on Nasdaq With Staking Component

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21Shares listed its spot Hyperliquid ETF, ticker THYP, on Nasdaq on May 12, giving brokerage clients regulated exposure to HYPE, the native token of the Hyperliquid perpetuals trading network, with a built-in staking mechanism that allows the sponsor to stake up to 100% of the fund’s held tokens for yield.

THYP Structured as Grantor Trust With Cold Storage Custody at Anchorage and BitGo

The fund is structured as a grantor trust rather than a 1940 Act fund, a structure that permits the sponsor to stake held HYPE while maintaining passive price exposure for investors. Custody of the physical HYPE is held by Anchorage Digital Bank and BitGo Bank & Trust, both of which use cold storage backed by up to $350 million in joint theft and fraud insurance. 

The fund tracks the FTSE Hyperliquid Index as its pricing benchmark, with in-kind creation and redemption baskets running in lots of 10,000 shares and limited to authorized participants. 21Shares charges a 0.30% annual sponsor fee, paid in HYPE.

Sponsor Authorized to Stake Up to 100% of HYPE Holdings Through Figment

Under the fund’s terms, the trust may stake between 30% and 70% of its HYPE holdings through staking provider Figment Inc., with the sponsor retaining discretion to raise that allocation to 100%. Staking rewards are split approximately 70% to the trust and 30% to the provider. 

The fund’s prospectus flags several associated risks, including validator jailing penalties, staking lockups ranging from one to seven days, and potential redemption delays stemming from those lockup periods.

Prospectus Warns of Total Loss Risk as HYPE Volatility Tops 126% Annualized

The prospectus includes strong risk disclosures, stating that THYP is unsuitable for investors who cannot afford a total loss and citing HYPE’s annualized volatility above 126%. HYPE was trading at $42.071 at the time of publication. 

21Shares already operates a 2x leveraged HYPE product under the ticker TXXH, which began trading on April 30. Competing spot HYPE ETF filings have been submitted by Bitwise and Grayscale under the tickers BHYP and GHYP, respectively.

Bitwise and Grayscale Have Filed Competing Spot HYPE Products as ETF Race Develops

The THYP listing arrives as rival asset managers move to secure their own positions in the spot HYPE ETF space. Bitwise’s BHYP and Grayscale’s GHYP remain at the filing stage, leaving 21Shares as the first to market with a listed product. The fund’s early inflows will offer an initial read on institutional appetite for regulated exposure to the Hyperliquid network.