HYPE ETFs Lead All Crypto Debuts by Market Cap Demand, Kairos Says

HYPE ETFs recorded the strongest market-cap-adjusted demand among major crypto ETF launches.

Spot HYPE exchange-traded funds absorbed 1.04% of Hyperliquid's market capitalization in their first 10 trading days, the highest reading by that measure among major spot

ETF launches to date, according to Kairos Research. The firm calculated cumulative net flows into new spot crypto ETF issuers as a share of each underlying asset's market cap at the time of launch.

By that metric, HYPE ETFs outpaced spot BTC ETFs, which absorbed 0.59% of Bitcoin's market cap at launch, spot ETH ETFs at 0.41%, and spot SOL ETFs at 0.31%. Kairos excluded legacy trust redemptions from GBTC and ETHE to isolate demand from new issuers rather than conversions out of existing products.

Bloomberg ETF analyst Eric Balchunas said the 21Shares Hyperliquid ETF, ticker THYP, had gained 50% since launching two weeks earlier. He compared that pace to Roundhill's DRAM ETF, which took five weeks to post a comparable gain, and to BlackRock's spot Bitcoin

IBIT, which took two months to reach the same threshold.

SoSoValue data shows HYPE ETFs recorded $6.89 million in net inflows during their partial launch week from May 12 to May 15. Inflows then rose to $68.02 million for the full week ending May 22, making HYPE the largest altcoin-linked ETF inflow category among the asset classes tracked for that period, according to SoSoValue.