Hyperliquid's HYPE Hits Record High Driven by Automated Buybacks, Not ETFs
On May 24, 2026, Hyperliquid's HYPE token soared to an unprecedented high exceeding $64, largely due to the protocol's automated buyback system rather than the newly introduced US spot ETFs. Approximately 99% of trading fees from both perpetual and spot markets are directed into open-market HYPE acquisitions without any discretionary control. Since its inception, Hyperliquid has amassed over $1.16 billion in total revenue, predominantly allocated for buybacks. In Q3 2025, $316.76 million worth of HYPE was repurchased, but quarterly buybacks have since declined to $255.05 million in Q4 2025 and $192.25 million in Q1 2026, despite rising token prices. Arthur Hayes forecasts a $150 price target for HYPE by August, linking its price to Hyperliquid’s trading volume.
Key facts
- HYPE token hit record high above $64 on May 24, 2026.
- First US spot Hyperliquid ETFs launched days before the record.
- Assistance Fund uses ~99% of trading fees to buy HYPE on open market.
- Hyperliquid generated over $1.16 billion cumulative revenue since launch.
- Q3 2025 buybacks: $316.76 million; Q4 2025: $255.05 million; Q1 2026: $192.25 million.
- USDC reserve yield and protocol treasury also fund buybacks.
- Arthur Hayes predicts $150 HYPE price target by August.
- ETF inflows are tens of millions; buybacks are hundreds of millions per quarter.
Entities
Artists
- Arthur Hayes
Institutions
- Hyperliquid
- DeFiLlama
- Bitwise
- FalconX
- Anchorage Digital
- Ripple Prime
- CoinMarketCap
- NFT Plazas
Locations
- United States