When the XRP (XRP 0.19%) exchange-traded funds (ETFs) were launched in November 2025, they were immediately one of the most successful assets of their kind, and they bolstered the investment thesis for the underlying asset as a result. Today, there's a growing number of brand-new spot ETFs for Hyperliquid (HYPE +0.10%), and if the early performance of just two of them foreshadows the market's reception for the full set, it looks like they will one-up the XRP ETFs in no time flat.
Here's why the Hyperliquid ETFs could prove to be the more impressive performers, and whether that makes them worth owning.
Image source: Getty Images.
Why the new funds punch above their weight
Since their November 2025 launch, U.S. spot XRP ETFs have pulled in about $1.4 billion in net inflows. And in just their first 10 sessions on the market, they brought in an impressive $644 million in net inflows.
In comparison, the spot Hyperliquid ETFs opened in mid-May 2026 and crossed $100 million in net inflows in their first 10 sessions. Only two funds are operating right now, but more are expected very soon.
CRYPTO: HYPE
Key Data Points
There are two reasons the inflows into the Hyperliquid funds are a bigger deal than it might seem at first.
For one, XRP's market cap at the time of the ETF launches was close to $150 billion (today, it's $82 billion), and it already was an established crypto major. Hyperliquid's market cap today is $13 billion, less than a 10th XRP's market cap at the equivalent point in time, and it's an altcoin -- not something that investors in the traditional financial sector are usually eager to buy.
So the fact that Hyperliquid was able to get a disproportionately large amount of capital to flow into its spot ETFs right after their launch indicates that it's a compelling asset that investors very much want to own despite some of the wariness they usually have with altcoins.
The other important factor is that those Hyperliquid ETFs purchased coins that amount to close to 1% of the underlying asset's market value in 10 sessions. XRP's funds only absorbed about 0.5% of XRP's market value across their own first 10 sessions.
That means Hyperliquid is pulling roughly double the proportional demand at the same milestone, despite being an asset most institutional investors hadn't heard of a year ago. Now, ETFs are contributing to the scarcity of the underlying asset, the Hype token, which is already experiencing a steady reduction of its supply outstanding via another mechanism.
Hyperliquid is a decentralized crypto exchange (DEX) that funnels about 99% of its fee revenue into buying back Hype tokens daily. Those purchases form a standing bid, so the new ETF capital inflows create demand for the coin on top of existing demand. And that additive effect could ultimately benefit those who own the token or the ETF shares.
Should you buy them?
Crypto ETFs are typically just packaging that does not change how attractive an asset is to hold or how much risk investors take by buying it.
And Hyperliquid carries plenty of risk. Its fully diluted valuation (FDV) is near $55 billion, so most of the token's supply has yet to hit the market. The future unlocking of major supplies could thus swamp the daily buybacks if demand for its trading platform cools. The token is also far younger than XRP, having only been launched in late 2024, so it hasn't had as much time to get established in its markets or even in its own identity.
Furthermore, Hyperliquid has a lot of competition, and even more is on the way soon; the only way for it to be a good investment is if traders continue to use its Hyperliquid exchange rather than the increasing number of alternative platforms. That means it has a fierce competitive battle ahead, and that the battle might last for years even under optimistic assumptions.
So, if you would be comfortable buying an ETF tied to a rapidly growing and highly risky fintech start-up in a crowded field and then holding it for a few years, a Hyperliquid ETF (or the token itself) might be of interest to you. On the other hand, if you're looking for a tried-and-tested play, this isn't it.
