The monetary agency is making HYPE its main reserve asset as a part of a broader transfer into DeFi.
Monetary platform Lion Group Holding Ltd. (LGHL) on Wednesday introduced it has secured a $600 million facility from ATW Companions to kickstart its HYPE Treasury.
Launched in December 2024, HYPE is the native token of the decentralized perpetual trade and Layer 1 community Hyperliquid, which boasts a complete worth locked (TVL) of round $542 million, in accordance with DeFiLlama.
“Hyperliquid represents a natural extension of LGHL’s existing derivatives business into decentralized markets, and reflects our conviction that decentralized on-chain execution is the future of trading,” mentioned Wilson Wang, CEO of LGHL.
Wang added that LGHL views protocols like Hyperliquid as core constructing blocks for scalable decentralized finance (DeFi) techniques.
Lion Group’s proposed HYPE Treasury is a part of a broader on-chain initiative and can maintain three foremost digital belongings: HYPE, Solana (SOL), and Sui (SUI). The corporate plans to make HYPE its foremost reserve asset, in accordance with a press launch seen by The Defiant. In the meantime, SOL and SUI will likely be saved and staked by BitGo by a brand new partnership between the 2 corporations.
HYPE is at present buying and selling at round $38 with a market cap of $13.2 billion, up 50% over the previous month. In the meantime, following the announcement, LGHL inventory is buying and selling at $3.50, up 25.88% on the day.
This marks the second agency in as many days to disclose a HYPE reserve technique – yesterday, digital ophthalmic tech firm Eyenovia introduced a $50 million funding for a HYPE treasury. The back-to-back strikes sign rising curiosity in utilizing crypto, particularly on-chain native belongings like HYPE, as fashionable treasury reserves.
LGHL expects its first $10.6 million in funding to shut inside 48 hours, the discharge famous. The corporate can be contemplating secondary listings on the Tokyo and Singapore inventory exchanges, to “create the first HYPE treasury listed in Asia.”
The transfer comes amid a broader political shift towards crypto. In March, the Trump administration launched a Strategic Bitcoin Reserve (SBR). A Bitcoin reserve refers to an entity holding a stockpile of Bitcoin (BTC), much like how nations maintain gold or U.S. greenback reserves.
Since information of the initiative broke, the $600 million determine has drawn skepticism on social media. In style buying and selling account Anteater suggests the quantity could also be exaggerated, whereas Delphi researcher LTR known as the corporate “grifters” in a publish on X (previously Twitter).
Lion Group didn’t instantly reply to The Defiant’s request for remark.
