Lucía Peña
Nasdaq-listed Sonnet BioTherapeutics has finally received the green light for its long-awaited merger to form a HYPE digital asset treasury (DAT), according to a new announcement. The deal had been pending since July, when Sonnet revealed plans to combine with Rorschach I LLC, a recently established entity with loose ties to Paradigm — a major crypto venture firm backing Hyperliquid.
This merger establishes a new publicly traded DAT named Hyperliquid Strategies, Inc., marking one of the most significant traditional-finance bridges into the digital asset treasury model.
When the plan was first unveiled, the new DAT projected holdings of 12.6 million HYPE tokens alongside $305 million in cash, valuing the vehicle at roughly $888 million. Just a few months later, in October, Hyperliquid Strategies submitted an S-1 registration with the U.S. Securities and Exchange Commission, targeting a public raise of up to $1 billion.
Despite strong interest, CEO David Schamis noted earlier that the shareholder vote had taken longer than expected. He explained that although over 95% of received ballots supported the merger, the process was slowed by the required minimum participation threshold.
Hyperliquid’s Ecosystem Continues Expanding
Hyperliquid — the decentralized perpetuals exchange linked to the DAT — has become one of the most actively used platforms in crypto. Since launching in 2023, it has surpassed $1.5 trillion in cumulative trading volume, highlighting the demand for decentralized derivatives infrastructure.
However, broader market conditions have weighed on DAT valuations. The combined market cap of digital asset treasuries has pulled back as major cryptocurrencies weakened, prompting many firms to introduce stock buyback programs in recent months.
More Firms Move Toward Hyperliquid DAT Structures
In June, Hong Kong-based Lion Group Holding Ltd. secured a $600 million facility to launch its own Hyperliquid-aligned DAT, demonstrating growing institutional interest in the model.
The HYPE token, which traded near $47 when Sonnet first announced the merger, is now hovering around $33, according to pricing data from PRIME.
Backing From Major Crypto and Institutional Investors
The Sonnet–Rorschach merger has also attracted capital from a list of high-profile investors, including Galaxy Digital, Pantera Capital, D1 Capital, Republic Digital, and 683 Capital — signaling strong confidence in the future of HYPE-based treasury structures.
