21Shares has submitted an application for a 2x HYPE leveraged ETF: betting on Hyperliquid momentum.

21Shares has officially submitted an application for the 2x HYPE ETF to the U.S. SEC, which is a leveraged exchange-traded fund designed to provide double (200%) daily returns on the Hyperliquid index. This product will be a high Beta option for traders to capture the increasingly on-chain activities of the Hyperliquid platform. This move is the latest attempt by the asset management company to introduce Decentralized Finance (DeFi) protocol products into the U.S. mainstream financial market, following the HYPE ETF applications submitted by Bitwise and VanEck. If approved, it is expected to become the first leveraged ETF listed in the U.S. that tracks real-time DeFi protocol fees and perpetual market performance.

21Shares Expands DeFi Product Line: Leveraged ETF Targets High-Risk Returns

The new submission from 21Shares aims to amplify the exposure of HYPE tokens through leveraged products to attract traders seeking high risk and high return.

· High Beta strategies under 200% leverage

The proposed 2x HYPE ETF will amplify investors' exposure by 200%, allowing traders to take advantage of the surge activity in the platform's perpetual contract trading system.

• Bloomberg ETF Analyst Eric Balchunas described 21Shares's submission of Ethereum as “too niche, but possibly successful,” and compared it to the explosion of thematic ETF Ethereum in the early smart Beta and hedging products.
• Structural Innovation: This ETF will integrate Hyperliquid's perpetual futures system using swaps rather than actual custody and will be packaged within a traditional daily-reset framework under the 40 Act, with an initial capacity estimated between 500 million and 1.5 billion dollars.

· The European market takes the lead in layout.

21Shares has previously listed the HYPE ETP on the European SIX Swiss Exchange, providing institutional investors with a way to access the protocol tokens without the need for wallets or on-chain custody. The listing of the European ETP coincides with Hyperliquid recording its strongest monthly revenue ever.

· Continuous expansion of the product line

This move follows the company's recent launch of other innovative products, including the 21Shares DOGE ETF recently launched on the DTCC platform.

Asset management giants accelerate布局 Hyperliquid protocol

The actions of 21Shares are part of a comprehensive effort by large asset management companies to bring the Hyperliquid ecosystem into traditional finance.

· Pioneers of Bitwise and VanEck

• Bitwise submitted an application for the HYPE ETF last month, with a product structure aimed at directly holding native tokens and featuring physical creation and redemption functionality (exchanging shares for HYPE tokens rather than cash).
• VanEck has also applied for the U.S. spot staking Hyperliquid ETF, while also having a parallel ETP application in Europe. The company hinted at potentially integrating staking yields with HYPE buybacks linked to fund performance into the product.

· The underlying upgrade of Hyperliquid boosts ETF issuance.

The HIP-3 upgrade of the Hyperliquid platform is now live, introducing a permissionless perpetual contract market creation feature.

• Experts believe that this upgrade will greatly expand the utility and liquidity of HYPE, making it a more attractive underlying asset for ETF issuers.

Conclusion

21Shares has submitted an application for a 2x HYPE ETF, marking the interest of traditional finance in specific DeFi protocols has extended from spot products to riskier leveraged instruments. If the SEC approves such niche, high-leverage DeFi ETFs, it will disrupt the previous perception that U.S. digital asset ETFs were limited to mainstream coins like Bitcoin and Ethereum. This undoubtedly provides new tools for traders seeking high returns, but the complex swap structures and risks associated with high leverage also require investors to exercise caution. The upgrading of the Hyperliquid underlying protocol and the active positioning of several major asset management firms indicate that DeFi protocol tokens are accelerating their acceptance by traditional financial instruments.

This article is news information and does not constitute any investment advice. The cryptocurrency market is highly volatile, and investors should make decisions with caution.