Matt Hougan, Chief Investment Officer at Bitwise, isn’t playing it modest. In his view, Hyperliquid (HYPE) shouldn’t be benchmarked against the $3 trillion crypto market — it should be measured against the global asset market, estimated at $600 trillion.
It’s a bold thesis, backed by concrete numbers: the BHYP spot ETF has raised close to $60 million since its launch on the NYSE in mid-May. And HYPE is already up +10% in 24 hours, ranking as the 11th largest crypto by market cap globally.
Behind this narrative lies a structural conviction: Hyperliquid is not simply a crypto trading platform — it is a next-generation financial infrastructure. Here’s why this reading deserves to be taken seriously.
HYPE, a “Generation 2” Token According to Bitwise
Hougan draws a clear line between HYPE and traditional exchange tokens like BNB or FTT. The fundamental difference? Hyperliquid redirects virtually all of its trading fees into token buybacks, creating a direct and transparent deflationary mechanism. No opaque dilution, no centralized treasury: the protocol functions as a value redistribution engine.
“I think investors are going to take a while to realize this is a generation 2 token. It’s a new version. It’s not like the past,” he said during an interview with Nate Geraci. This mechanic is far closer to a shareholder return model than the classic tokenomics of centralized exchanges.
On the price action side, HYPE was trading around $68 on Saturday, up 10% over 24 hours according to BeInCrypto data. The token is consolidating its position in the global top 15 by market cap — a sign that the market is beginning to price in this breakout narrative.
Why Hyperliquid Is Targeting the $600 Trillion Global Market
Hougan’s thesis is grounded in an already observable reality: roughly 50% of perpetuals volume on Hyperliquid comes from non-crypto assets — including the S&P 500, oil, and commodities. He expects that share to reach 90% over time. This is no longer a crypto trading platform — it is a global financial derivatives infrastructure.
“This is not a crypto app. It’s a financial app that uses crypto in the background to create a new financial experience that is better in many ways than the traditional system,” he summarized. The positioning is that of a direct competitor to traditional exchanges and institutional derivatives platforms such as the CME.
Real Risks That Bitwise Isn’t Hiding
Hougan openly acknowledges the grey areas. The NYSE, the CME, and several competing DeFi protocols are all preparing to move into the same space. Hyperliquid has no guarantee of maintaining its technological edge or its liquidity advantage against players with massive institutional resources.
Another significant friction point: US investors still cannot access the offshore platform directly. That is precisely why Bitwise structured the BHYP — an ETF that stakes approximately 70% of its assets through its own infrastructure and reinvests 10% of its management fees into HYPE on its balance sheet. A product designed to capture the exposure without requiring direct access.
The question remains open: can Hyperliquid deliver on this promise as competition organizes itself? For now, the market appears provisionally convinced.
