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21Shares Files for Hype Spot ETF With Coinbase and BitGo as Custodians

SEC approval remains uncertain due to a review backlog during the U.S. government shutdown.

Overview

  • 21Shares submitted an application for a passive fund that would track the Hyperliquid network’s Hype token, coming a week after agreeing to be acquired by FalconX.
  • The filing names Coinbase Custody and BitGo Trust to safeguard the ETF’s holdings in cold storage.
  • The S-1 outlines a Delaware statutory trust intended to mirror Hype’s U.S.-dollar price and staking yield without using leverage or derivatives.
  • Authorized participants would create and redeem shares in exchange for Hype or cash, according to the proposed structure.
  • Hype has surged about 15x over the past year to rank 11th by market value, as the SEC weighs numerous crypto ETF proposals following September procedural changes.