Hyperliquid Strategies Subsidiary Seeks US Futures Broker License for Onchain Perps
Key Takeaways
- •A subsidiary of Nasdaq-listed Hyperliquid Strategies has applied to register as a futures commission merchant with the CFTC, a move intended to bring Hyperliquid-based perpetual futures markets onshore for US customers.
- •The subsidiary would handle US customer accounts for permissioned markets created under Hyperliquid's HIP-3 framework, which requires operators to stake 500,000 HYPE tokens, worth $38.8 million, to launch custom perpetual futures markets.
- •Both the FCM registration and the proposed permissioned markets require regulatory approval, and US customer access through the subsidiary depends on that clearance.
- •The application follows Intercontinental Exchange's Oct. 29 agreement with Trade[XYZ] to bring Hyperliquid-based perpetual markets to the US through a dedicated market and clearing structure.
- •In the quarter ended Sept. 30, Hyperliquid Strategies raised $911 million in equity, spent $785 million to acquire 9.1 million HYPE, repurchased $17 million of PURR shares, and held 38.5 million HYPE valued at $3.5 billion, while its stock fell 9.6% to close at $8.76 on Thursday.
A subsidiary of Nasdaq-listed HYPE treasury company Hyperliquid Strategies has applied to register as a futures commission merchant (FCM), a step intended to bring Hyperliquid-based perpetual futures markets to the United States. FCMs are firms that solicit or accept orders for futures products and must register with the Commodity Futures Trading Commission (CFTC), the US regulator for futures and swaps markets. The application was flagged by Hyperliquid News on X.
"Owning HYPE is how we aim to capture economics associated with the Hyperliquid protocol; setting up an FCM is how we intend to help bring markets deployed on Hyperliquid onshore," said Hyperliquid Strategies CEO David Schamis in the company's results for the quarter ended Sept. 30, published Thursday.
Hyperliquid's HIP-3 framework allows independent operators to launch custom perpetual futures markets on the protocol's onchain infrastructure by staking 500,000 HYPE tokens ($38.8 million). Perpetual futures are derivative contracts with no fixed expiration date, a structure widely used across crypto derivatives markets. Proposed HIP-3 features would let operators create permissioned markets that restrict participation to approved addresses. The subsidiary would handle US customer accounts for such permissioned markets deployed on Hyperliquid, the company said. Both the FCM application and the proposed markets require regulatory approval, on which US customer access through the subsidiary depends.
The move follows an Oct. 29 announcement by Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange, of an agreement with Trade[XYZ] to bring Hyperliquid-based perpetual markets to the US, subject to regulatory approvals. ICE plans to operate a dedicated market and clearing structure. Together, the two initiatives represent parallel efforts to route Hyperliquid-based perpetual trading through regulated US market structures.
Hyperliquid Strategies buys $785M in HYPE, spends $17M on share buybacks
During the quarter, Hyperliquid Strategies raised $911 million in equity capital. It deployed $785 million to acquire 9.1 million HYPE and $17 million to repurchase 2.7 million PURR shares. As of Sept. 30, the company held a total of 38.5 million HYPE, valued at $3.5 billion at the time.
"Hyperliquid is winning the parts of onchain finance that generate real fees, and nearly all of that value flows back to HYPE holders through programmatic buybacks," Schamis said.
Hyperliquid and Pump.fun accounted for nearly 90% of a record $638 million in crypto buybacks, according to a report citing the Financial Times.
Hyperliquid Strategies' shares fell 9.6% on Thursday, closing at $8.76, according to Yahoo Finance.
Originally published by Cointelegraph.
