Key highlights:
- Hyperliquid Strategies has expanded its equity facility with Chardan Capital Markets
- The extra funding may be used for general business needs like buying HYPE tokens
- The firm already holds close to 29.3 million HYPE tokens
HYPE treasury company Hyperliquid Strategies, which trades on the Nasdaq under the ticker PURR, told the U.S. Securities and Exchange Commission on September 1 that it had raised the size of its stock-sale agreement with Chardan Capital Markets to $2.5 billion, up from $1 billion. The new move expands the company’s capacity to sell its stock over time.
Today we filed an 8K explaining the details of our updated equity facility.
When we originally put this facility in place it had a headline of $1bn (which at the time seemed like an awful lot). We are now close to hitting the $1bn limit, so we have increased the agreement to… pic.twitter.com/OsbcpogT67— David Schamis (@dschamis) September 1, 2026
Terms of Hyperliquid Strategies' expanded facility
The ChEF Purchase Agreement was first signed back in October 2025. The deal states that the company can ask Chardan to buy newly issued shares whenever it wants extra cash. Chardan, a New York-based investment bank, then sells those shares to investors on the open market.
However, immediately after Hyperliquid Strategies raises the first $1 billion through this facility, any share sales priced below $12.02 can not go past about 42.6 million shares unless shareholders give a go-ahead. This rule came about because of Nasdaq listing standards, which protect existing shareholders from being diluted too heavily without a say.
Selling shares this way is very different from taking out a loan. There's no interest to pay and no fixed schedule to pay money back. But every new share sold reduces the ownership stake of everyone who owns the stock, since the total number of shares in circulation increases.
By June 30, the company had sold about $647 million worth of shares under the $1 billion facility. Those sales likely played a part in the decision to boost the deal to $2.5 billion.
More firepower for HYPE purchases
According to the company’s disclosures, proceeds from the stock sales are to cover "general corporate purposes,” like buying more HYPE tokens.
Nothing in the filing says the company is to buy a set amount of tokens or hit any deadline. Management has full discretion to use the money for operating costs, transaction fees, or token purchases, depending on what makes sense at the time. As of late August, the company holds about 29.3 million HYPE tokens.
Meanwhile, the stash has grown really fast. Hyperliquid Strategies has spent millions of dollars buying around 16.5 million tokens at an average price near $47 each since combining its business in December. Its total holdings have more than doubled in less than a year as a result.
Notably, interest in the HYPE token has also picked up. It jumped over 20% in August after President Donald Trump said regulators were working to bring Hyperliquid into the U.S.
Stock slides even as financing grows
PURR shares fell despite the bigger financing offering. The stock dropped by 7.3% to close at $11.36.
However, there are still positives to hold on to. The stock has climbed about 73% over the past month and more than 230% since the start of the year, which suggests strong investor confidence in the stock.
Hyperliquid Strategies also released a strong first fiscal year financial report. The firm reported $305 million in annual profit and carried zero debt.
