Brief
- A subsidiary of Hyperliquid Strategies, which is listed on NASDAQ, has applied to become a futures broker regulated by CFTC in order to handle American customer accounts for the licensed market based on Hyperliquid.
- According to CEO David Schamis, this FCM application is "the same bet" as the company's investment of $802 million this quarter, which was mainly used to buy HYPE.
- This application echoes the efforts of Payward and ICE to introduce sustainable futures based on Hyperliquid into the United States, but regulatory authorities still need to approve the brokerage business and related markets.
The business of Hyperliquid Strategies has always revolved around holding HYPE. Now, this company also wants to help Americans trade Hyperliquid.
This treasury company listed on NASDAQ trades under the symbol PURR, and its chairman is former Barclays CEO Bob Diamond. In its quarterly earnings report released on Thursday, the company disclosed that one of its subsidiaries has applied to become a futures commission merchant ( FCM ).
FCM is a broker registered with CFTC, responsible for holding client funds and processing futures orders. If approved, this subsidiary will undertake American client accounts for the licensed market established on Hyperliquid, allowing Americans to trade perpetual futures within a regulated framework.
Will HYPE surpass SOL in 2026?
Sustainable futures are a type of derivative that does not have an expiration date, allowing traders to take on leveraged positions. Hyperliquid is an important on-chain trading venue for such products, but currently, US users are still prohibited from using it.
Its HIP-3 framework allows external companies to launch their own perpetual markets based on the order book of Hyperliquid after pledging HYPE. A new licensing version HIP-3 * allows regulated deployers to operate these markets for approved traders, with Hyperliquid providing support as a neutral infrastructure.
"We invested $802 million this quarter and applied to become a futures commission merchant," said CEO David Schamis, "These two measures are part of the same bet."
As of the end of September, the company held approximately 38.5 million HYPE, worth about $3.5 billion. If more transactions in the United States are routed through Hyperliquid, it may result in additional fees for the protocol, which will use the transaction fee income to repurchase HYPE. The FCM business will also allow Hyperliquid Strategies to have its own operations in addition to holding tokens.
This quarter, the company spent $785 million to acquire 9.1 million HYPE, and used $17 million to repurchase 2.7 million of its own shares. These funds mainly came from the $911 million raised through stock sales. The company reported a net profit of $620.6 million, of which nearly all came from the unrealized gains of $803 million resulting from the increase in the price of HYPE from around $65 to $91.
It won't be the only one. Kraken's parent company Payward stated that they plan to deploy HIP-3 on a market regulated by CFTC through an exchange managed by Bitnomial, with NinjaTrader Clearing serving as the FCM.
Last week, Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange (NYSE), agreed to collaborate with Trade [XYZ] to introduce sustainable futures based on Hyperliquid to the United States, driving HYPE up by 13%. Trade [XYZ] has already been operating a market in Hyperliquid, including sustainable futures linked to the S&P 500.
Regulatory authorities still need to approve the registration of FCM as well as the licenses for the HIP-3 market it will serve. The company has not yet provided a timeline for this process.
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