<b>Grayscale Sees HYPE Token as Undervalued Despite Recent Gains</b>
Grayscale, a leading asset manager in the crypto space, has released a research note on HYPE, the token of Hyperliquid. According to Zach Pandl, Grayscale's head of research, HYPE may still be undervalued despite its recent gains.
Pandl used an earnings per token framework similar to earnings per share for equities and projected that Hyperliquid will generate $1 billion in earnings by 2027, a 20% increase from 2025. This growth is expected to come from a recovery in crypto trading activity and additional income from a new stablecoin partnership with Coinbase.
The Aligned Quote Asset version 2 partnership between Hyperliquid and Coinbase allows Coinbase to serve as the network's official USDC treasury deployer, directing part of the reserve income generated by USDC to the protocol. This creates an additional revenue stream that could support HYPE purchases.
Grayscale also modeled scenarios for the circulating supply of HYPE tokens, which currently stands at around 270 million. The asset manager expects this number to reach between 270 million and 310 million by the end of 2027, depending on the pace of contributor unlocks.