Bitwise Hyperliquid ETF recorded $19 million inflows while rivals lost momentum. Bitwise expanded market dominance through staking rewards and temporary zero-fee structure. Bitcoin and Ethere
Institutional money rotated aggressively into Hyperliquid-focused exchange-traded funds this week after Bitwise recorded a major inflow milestone tied to its BHYP product. According to , Bitwise CEO Hunter Horsley confirmed that the Bitwise Hyperliquid ETF posted $19.05 million in daily inflows, placing it ahead of competing products connected to the decentralized finance sector.
Horsley stated that nearly the entire $22 million trading volume came from direct capital inflows. Consequently, the trading session reflected sustained buyer activity without meaningful selling pressure from large holders. The update also highlighted how quickly Bitwise strengthened its position in the growing Hyperliquid ETF market.
Moreover, the inflow surge arrived only two weeks after Hyperliquid ETFs launched in the United States. The timing gave Bitwise an opportunity to expand aggressively before competitors established stronger market positions, with Horsley confirming cumulative inflows reached roughly $55 million as the firm overtook rival issuer 21Shares in the process.
~$19,000,000 inflow into the Bitwise Hyperliquid ETF $BHYP today.
The largest single day inflow to date.
Interestingly, volume today was ~$22M, which means almost all of it was buys.
BHYP is now the largest Hyperliquid ETF in the world.
Incredible to see investor interest.… https://t.co/It68WulO3F
— Hunter Horsley (@HHorsley) May 27, 2026
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Bitwise introduced several product incentives that helped attract additional institutional capital into BHYP. According to the company, Bitwise integrated a native staking mechanism into the regulated ETF structure, allowing investors to receive access to 67% of staking rewards generated through the product.
Additionally, Bitwise temporarily reduced management fees to zero, making the ETF more competitive during its early launch phase. That strategy allowed the company to increase market share rapidly while demand for alternative crypto investment products continued expanding.
Besides, Hyperliquid-linked products outperformed while traditional crypto ETFs experienced declining momentum. Bitcoin and Ethereum ETFs reportedly recorded combined outflows totaling $1.64 billion since May 2026 began. Consequently, some institutional investors appeared willing to shift exposure toward newer blockchain ecosystems with stronger growth potential.
Source: SoSovalue
Meanwhile, BHYP and competing products such as THYP continued attracting asset managers seeking exposure to emerging on-chain trading ecosystems. According to the report, that demand helped Hyperliquid ETFs outperform broader crypto fund flows during recent trading sessions.
The latest capital rotation also suggested that institutional firms were becoming more selective with crypto allocations during the current market environment. While Bitcoin and Ethereum products experienced sustained withdrawals, newer ecosystem-focused funds continued absorbing liquidity from investors seeking stronger growth potential.
In conclusion, Bitwise strengthened its position in the Hyperliquid ETF market through aggressive product incentives and strong early inflows. The latest figures also showed institutional investors gradually diversifying beyond traditional Bitcoin and Ethereum investment products.
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