Bitwise Says Hyperliquid HYPE Undervalued as Multi Asset Platform

The native token of the Hyperliquid trading platform, HYPE, has surged nearly 77% year-to-date, yet remains undervalued according to a prominent investment firm. Bitwise Asset Management argues the market is incorrectly pricing the asset by viewing Hyperliquid solely as a cryptocurrency derivatives exchange rather than an emerging global multi-asset platform.

Bitwise Chief Investment Officer Matt Hougan stated that Hyperliquid is evolving beyond its core business of crypto perpetual futures into trading commodities, S&P 500 futures, and other financial instruments. He estimates the platform is already generating between $800 million and $1 billion in annualized revenue, processing $170 billion in trading volume over the past month. A central pillar of the valuation thesis is the platform's fee structure, which directs 99% of trading fees to buy back HYPE tokens, creating a direct link between platform activity and token demand.

Hougan contends this model positions HYPE as a second-generation crypto asset designed to accrue value from real revenue, differentiating it from earlier decentralized finance tokens. He suggests the token's current market capitalization implies a...