21Shares Files for 2x Leveraged HYPE ETF, Targeting DeFi Volatility
21Shares has submitted a groundbreaking filing with the SEC for a 2x leveraged Hyperliquid (HYPE) ETF, marking a strategic push into decentralized finance. The proposed fund seeks to deliver double the daily returns of the HYPE Index—a benchmark tracking activity on an emerging decentralized platform.
Tactical traders, not long-term investors, are the target audience for this high-beta product. "This is the kind of filing where you're like man, that is SO niche," remarked Bloomberg's Eric Balchunas, suggesting the ETF could gain significant traction despite its specialized focus. Market volatility, liquidity constraints, and rebalancing mechanics pose key risks.
The filing underscores the crypto industry's accelerating product innovation. As Shanaka Anslem Perera noted, the 2x HYPE ETF represents more than just another Leveraged product—it's a tailored instrument for navigating DeFi's rapid evolution.
