Hyperliquid Fuels HYPE Surge With $1.16 Billion Buyback Blitz

Hyperliquid’s HYPE token traded near record highs after the protocol’s fee-funded buyback engine spent more than US$1.16 billion (AU$1.61 billion) buying back HYPE, linking token demand directly to trading activity on the platform.

CoinMarketCap data showed HYPE at about US$61.59 (AU$85.61) on May 25, after setting an all-time high of US$64.32 (AU$89.40) a day earlier. The token’s market capitalisation was listed near US$15.65 billion (AU$21.75 billion), with US$725.45 million (AU$1.01 billion) in 24-hour volume.

The rally has made Hyperliquid one of the largest crypto assets by market value. CoinGecko showed a lower market cap near US$13.64 billion (AU$18.96 billion), highlighting supply-estimate differences across data providers, but both trackers show HYPE trading near record territory.

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Buybacks Drive Demand

The core mechanism is the Assistance Fund. Hyperliquid’s official docs say trading fees are directed to the community, including HLP, the assistance fund and deployers, and that HYPE in the assistance fund is burned, removing those tokens from circulating and total supply.

More than US$1.16 billion has been used for HYPE buybacks since launch. Perp.wiki’s Assistance Fund explainer says the buyback path can direct roughly 97%-99% of relevant flows toward HYPE purchases, depending on fee buckets and governance routing.

ETF demand has added a second source of buying. 21Shares’ THYP and Bitwise’s BHYP recorded roughly US$53 million (AU$73.7 million) in combined inflows since launching in May.

Related: JPMorgan: Yield-Bearing Tokenised Funds Won’t Replace Stablecoins Anytime Soon