Hyperliquid Strategies Inc.'s (HSI) plan to establish a \$583 million treasury has significantly impacted the price of HYPE, the native token of the Hyperliquid decentralized exchange. This strategic move involves a merger between Sonnet BioTherapeutics, a Nasdaq-listed biotech company, and Rorschach I LLC, a newly formed entity. The combined entity will be named Hyperliquid Strategies Inc..
The primary goal of this merger is to create a substantial reserve of HYPE tokens. HSI is expected to hold 12.6 million HYPE tokens, valued at approximately \$583 million, along with at least \$305 million in cash. The cash will be used to acquire even more HYPE tokens, establishing one of the largest strategic reserves of the token. This positions HSI as a public cryptocurrency treasury company focused on enhancing its reserve strategy. The total assets of Hyperliquid Strategies are expected to reach \$888 million.
This initiative has garnered support from prominent strategic investors, including Paradigm, Galaxy Digital, Pantera Capital, D1 Capital, Republic Digital, and 683 Capital. These firms are backing Hyperliquid Strategies' vision of integrating blockchain technology and digital assets into its operations. Matt Huang, co-founder of Paradigm, noted the increasing institutional demand for exposure to Hyperliquid, highlighting the difficulty of acquiring HYPE directly in the U.S. HSI aims to provide a gateway for equity-based exposure to HYPE.
The announcement of this merger and treasury plan has already had a positive impact on the market. Sonnet BioTherapeutics shares surged nearly 300% in pre-market trading following the news. HYPE's price has also seen a significant increase. HYPE is currently trading around \$48.09, reflecting a 1.99% increase in the last 24 hours and a 17.76% increase over the past 7 days. Hyperliquid reached its all-time high of \$49.84 on July 13, 2025.
Analysts predict that the corporate treasury buying could further boost sentiment, potentially pushing HYPE above its \$50 resistance level. If the price rebounds off \$45.80, it suggests that the bulls have flipped the level into support, enhancing the prospects of a break above \$50. The HYPE/USDT pair may then ascend to \$60. However, sellers will need to pull the price below the 20-day exponential moving average (\$42.93) to weaken the bullish momentum.
Hyperliquid is a high-performance decentralized exchange (DEX) built on its own custom Layer 1 blockchain. It has generated over \$1.5 trillion in perpetuals volume in the past year and recently achieved a record \$11.3 billion in open interest. HYPE is used to compensate validators on the Hyperliquid network. The platform has grown to become a vital DEX focused on perpetual futures trading, with over \$10 billion in open interest.
Hyperliquid Strategies Inc. is committed to pioneering a treasury strategy that may shift liquidity management in the cryptocurrency space. By fostering strategic partnerships and navigating market dynamics, it aims to create a paradigm shift in how institutional investors engage with crypto assets.
