Hyperliquid Strategies posts $318 million net loss on $262 million unrealized HYPE losses

Nasdaq-listed Hyperliquid Strategies Inc (ticker: PURR) reported total assets of $616.7 million and a net loss of $317.9 million for the six months ended Dec. 31, 2025. 

The firm, which operates as a digital asset treasury focused on the Hyperliquid ecosystem, went public in December via a merger with Sonnet BioTherapeutics Holdings, Inc. This followed an October 2025 S-1 filing with the SEC in which the company sought to raise $1 billion to fund the expansion of its HYPE token treasury. 

The company said in a statement on Wednesday that the net loss was primarily attributable to $262.4 million in unrealized HYPE token losses, a $35.6 million IPR&D write-off tied to the Sonnet merger, and a $17.8 million increase in deferred tax expense. 

Hyperliquid Strategies reported $589.8 million in stockholders' equity and no debt. Revenue generation consisted of $0.9 million in interest income and $0.5 million in staking revenue from HYPE holdings, all generated post-transaction close on Dec. 2, per the statement. 

"While unrealized mark-to-market losses reflect broader digital asset volatility, our robust balance sheet, emerging staking yields, disciplined capital deployment, and alignment with Hyperliquid's deflationary mechanics and ecosystem expansions position us to deliver long-term shareholder value," Hyperliquid Strategies CEO David Schamis said in the statement. "We remain highly optimistic about Hyperliquid's trajectory as builder codes, RWA tokenization, and new primitives drive sustained growth and fee generation." 

Treasury deployment and HYPE accumulation

Hyperliquid Strategies said it deployed $129.5 million to acquire an additional 5 million HYPE tokens as of Feb. 3. This brings its total holdings to 17.6 million HYPE, representing approximately 1.83% of the 962.3 million token supply. The company also utilized $10.5 million to repurchase 3 million PURR shares, reducing its fully diluted share count to 150.6 million, according to the statement. 

The treasury firm stated it holds $125 million in remaining deployable capital, excluding a working capital reserve, and maintains access to a $1 billion Equity Line of Credit facility.

Hyperliquid, the blockchain native to the HYPE token, operates a perpetuals decentralized exchange that the company described in its statement as the “dominant” platform in the sector. The network's annual fee generation exceeds $800 million, with daily trading volumes in the billions, it said. 

HYPE traded around $28 on Wednesday, down 2% over the preceding 24 hours and more than 50% below its all-time high of $59.30, according to The Block's price page.