Hyperliquid Strategies Expands Buyback Program to $100 Million
Hyperliquid Strategies, the issuer of the PURR token, revealed on Friday that its board has authorized an increase in the buyback program from $30 million to an impressive $100 million, with about $72 million still available for future repurchases.
Extension of Buyback Program
Additionally, the company has extended the expiration date of the buyback program from December 5, 2026, to October 31, 2027. This initiative allows Hyperliquid to repurchase PURR shares through open-market transactions and other approved methods, a move that underscores the board’s confidence in the company’s long-term capital strategy. However, any purchases will remain discretionary.
Context of the Buyback Authorization
The initiation of share buybacks began after Hyperliquid’s strategic business combination that took place in late 2025, involving Sonnet BioTherapeutics and Rorschach I LLC. This merger established an initial treasury of approximately $880 million, composed of 12.5 million HYPE tokens valued at $580.5 million and nearly $300 million in liquid assets.
Market Position and Competition Challenges
As of Friday, the trading price of HYPE was approximately $77, reflecting a decline of about 21% from its peak of $97.96 recorded on September 23. This downturn occurs in the face of increasing competition from centralized exchanges within the market for real-world asset (RWA) perpetual futures, despite Hyperliquid’s growing order-book liquidity and diversity of tradable assets.
Performance in Bitcoin Derivatives
A recent report by Glassnode and Fasanara Digital highlighted Hyperliquid’s position in the Bitcoin derivatives market. The data showed that between September 1 and 24, the platform had a median of $856,000 in Bitcoin perpetual futures orders resting at its best bid and ask. This positioned Hyperliquid ahead of OKX, which had $786,000, but slightly behind Binance’s $1.03 million. Notably, the reported quoted spread for Hyperliquid was 0.127 basis points, which is significantly higher than Binance’s 0.013 basis points, attributed in part to Hyperliquid quoting Bitcoin in whole-dollar increments versus Binance’s smaller $0.10 intervals.
Growth in Non-Crypto Markets
The report also noted that together with Lighter, Hyperliquid traded approximately $2.9 billion daily in Bitcoin futures, which represented 7.5% of the total Bitcoin futures trading volume. Their market share has seen a remarkable increase since late 2024, when it was below 1%, despite a reduction in the overall Bitcoin futures market from $81 billion to $38.5 billion in daily transactions.
The Rise of Traditional Asset Trading
Beyond the realm of cryptocurrencies, Hyperliquid’s HIP-3 infrastructure has facilitated markets for traditional assets, such as equities, indices, and commodities. This segment has become increasingly significant, with perpetual trading volumes for these assets accounting for about 85% of the volume of Bitcoin perpetuals on the platform.
Intensifying Market Competition
Nonetheless, Hyperliquid is facing stiff competition in the RWA perpetual market, where its trading volume share has dropped from roughly 80% in July to 26% recently. Centralized exchanges have notably seized a larger portion of the market, cumulatively capturing 64%. Specifically, Binance’s share surged from 3% to 30%, while OKX secured approximately 14%.
