According to a Form 8-K filed with the SEC on September 1, Hyperliquid Strategies Inc. (HSI), the Nasdaq-listed company building a treasury around $HYPE, has doubled its stock-sale program, which is used to fund its strategy, thereby increasing its equity financing commitment to $2.5 billion from $1 billion.
The move demonstrates how corporate treasuries have become an increasingly important source of demand for tokens in the cryptocurrency market.
$HYPE is not an equity, but Coinbase Institutional considers its economic model as “equity-like” since the fees collected by the protocol will help cover the costs for systematic token buybacks. By providing HSI with access to as much as $2.5 billion in equity financing, the company is now able to accumulate $HYPE if it draws and deploys the facility.
Selling up to $2.5 billion in stock to feed a $HYPE hoard
The change came through Amendment No. 1 to the ChEF Purchase Agreement, the committed equity facility HSI signed with Chardan Capital Markets in October 2025. The structure allows the company to sell newly issued shares over time and use the proceeds for its treasury strategy.
The original agreement capped gross proceeds at $1 billion. The September 1 amendment raises that ceiling to $2.5 billion.
The Amendment increases the Total Commitment … from $1.0 billion to $2.5 billion.
— Hyperliquid Strategies, September 1 Form 8-K
HSI had already made heavy use of the facility. Its August 27 earnings release said it raised $646.6 million at an average issue price of $8.70 per share. It also deployed $773.4 million to accumulate roughly 16.5 million $HYPE at an average cost of $46.77.
$773.4 million deployed to accumulate ~16.5 million $HYPE tokens at average cost of $46.77.
— Hyperliquid Strategies, August 27 earnings release
A $12.02 floor to stop cheap share sales
This amendment includes an additional protection against the excessive dilution of shares. After HSI has sold a total of $1 billion of stock through the facility, the shares sold below the value of $12.02 cannot cause the actual issuance to surpass 42,641,847 shares, which represents 19.99% of outstanding shares just prior to the amendment.
This limit, known as the Exchange Cap, is meant to meet Nasdaq’s shareholder-approval regulations that are contained in Rule 5635. In effect, HSI will stay within the limit of the Exchange Cap while making below $12.02 sales to the extent that it obtains the approval of shareholders or some other applicable exception, limiting how aggressively it can issue discounted stock to keep funding purchases.
Why treasuries have become a crypto price factor
Single-asset crypto treasury companies are becoming a more visible source of market demand, and HSI is the Hyperliquid version of that model. Its pitch is that public-market investors can gain exposure to $HYPE while staking rewards accrue at the corporate level.
According to HSI’s fiscal 2026 Form 10-K, total assets reached about $2.06 billion as of June 30, including roughly $1.904 billion in $HYPE. The company ended the fiscal year with no debt and increased its treasury from 12.5 million to 29.3 million $HYPE.
HSI reported that $HYPE gained about 77% in the June quarter even though the total digital asset market cap decreased by nearly 13%. The increase in the facility by an additional $1.5 billion provides the company with a great deal of room for borrowing although the buying pressure is subject to what it is able to raise and use to buy $HYPE.
The buyback engine behind $HYPE
$HYPE also benefits from Hyperliquid’s fee-driven token economics. In his August 12 Bitwise memo, “Crypto’s Revenue Revolution,” CIO Matt Hougan highlighted the protocol as an example of crypto platforms using revenue to support token value.
Hyperliquid generated more than $800 million in revenue last year and uses ~99% of it to buy and burn $HYPE.
— Matt Hougan, Bitwise CIO
According to a related Cryptopolitan report, Bitwise estimates that since its launch, $1.3 billion worth of $HYPE tokens has been purchased and burned.
As per DefiLlama’s Hyperliquid dashboard data, as of the time of writing, the service has an annualized fee of $950.63 million, an annualized revenue of $713.83 million, an open interest amount of $13.771 billion, and the price of $HYPE at $82.21.
Should HSI invest more money into $HYPE, such institutional demand would be complemented by Hyperliquid’s protocol-level buybacks, thereby establishing a connection between trading activity, treasury accumulation, and demand for the token.
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