The merger between Sonnet BioTherapeutics and Rorschach I aims to establish Hyperliquid Strategies Inc., focusing on cryptocurrencies including the HYPE token.
Announcement of the Merger
Sonnet BioTherapeutics Inc. and Rorschach I LLC revealed their merger to form Hyperliquid Strategies Inc. (HSI). The official announcement confirms that the two companies have entered into a definitive merger agreement to create the HYPE reserve, the token of the new Hyperliquid Layer-1 blockchain.
Details of the HYPE Strategy
Hyperliquid Strategies Inc. is expected to hold 12.6 million HYPE tokens and over $305 million in cash, giving it a valuation of approximately $888 million. HSI aims to list on Nasdaq later this year. Major investors such as Paradigm, Galaxy Digital, and Pantera Capital have already shown interest in this project.
Market Reaction and Future
Following the merger news, Sonnet BioTherapeutics shares rose nearly 300% in premarket trading on Monday. In June, Nasdaq-listed Lion Group also announced it would raise $600 million to fund its HYPE strategy.
The establishment of Hyperliquid Strategies Inc. aims to strengthen the companies' positions in the cryptocurrency space and attract institutional investors to the HYPE project.
