Some key takeaways from $PURR first earnings call 1. $HYPE Holdings and Cash - Established a strong initial treasury with 12.5M HYPE tokens and $300M in cash contributed by investors. - Deployed $10.5M to repurchase ~3.0M PURR shares, reducing the fully diluted share count to 150.6M. - Deployed $129.5M to acquire ~5.0M additional HYPE tokens at ~$25.9, increasing total HYPE holdings to 17.6M. - $125M in remaining deployable capital. 2. $PURR Views on $HYPE and Treasury Strategy @dschamis and the team remain very impressed by $HYPE’s growth, especially with Builder Codes and HIP-3. They highlighted that at peak Silver volume, Hyperliquid processed around ~2% of total global Silver volume. They also highlighted that BLP (Portfolio Margin) and HIP-4 are the two upcoming updates they are most excited about, as they believe these will further expand $HYPE’s TAM. He mentioned: “Before HIP-4, for any startup trying to compete with Polymarket, it would have required significant capital, time, and execution capabilities. With HIP-4, these startups can focus on distribution, liquidity, and users without needing to build backend infrastructure.” They also stated that they believe $HYPE is currently undervalued, citing valuation multiples such as P/E being significantly lower than traditional benchmarks like the S&P. That said, they emphasized they will buy or sell both $HYPE and $PURR using a valuation-driven approach. From my understanding: - They will buy (sell) $PURR when mNAV is significantly below (above) NAV. "Not when mNAV is 0,9 - 1,1" - They will sell (buy) $HYPE when price is significantly above (below) their perceived fair value. This helps explain why they are currently accumulating more $HYPE. They believe $HYPE is undervalued. 3. $PURR’s Role Within the Ecosystem Today, a large part of $PURR value comes from providing U.S. investors access to $HYPE. David mentioned an HFT firm that actively trades crypto but currently cannot access $HYPE directly. Another key role is increasing $HYPE visibility/understanding, through direct investor meetings, TV appearances, and podcasts. David mentioned recognition has improved significantly but that a large audience still remains untapped. That said, they also expressed interest in increasing their direct participation within the ecosystem and potentially generating operating income, for example by running a validator. They emphasized they are not a hedge fund, and will only expand operating activities if they remain within their risk framework. 4. $PURR Net Asset Value Framework They also introduced their framework around $PURR mNAV and mentioned they would release a new dashboard tracking NAV in real time, adjusting dynamically based on both $PURR and $HYPE prices. They also stated they plan to update the dashboard weekly around company cash, purchases , etc. rather than only reporting when required by the SEC every quarter. We personally like this announcement a lot. 5. $HYPE Outstanding Supply David also shared their framework for estimating $HYPE outstanding supply, which we believe is very interesting and broadly aligns with our own way of thinking about circulating supply. Their framework suggests real supply is closer to ~47% of total supply. I mostly agree with this framework, although I think real outstanding supply could be even lower. AF buybacks are structurally deflationary, meaning effective circulating supply should continue decreasing over time. It may also make sense to factor in future AF buybacks and burns when thinking about forward supply. Regarding team allocation, there is limited additional analysis possible today due to lack of data. However, the team is currently unstaking ~90% less than the maximum allowed. I believe the majority of team supply will not hit the market for a very long time. -- This is a brief summary, but I believe it captures most of the key points. I’d like to thank @dschamis, @rediamondjr and their team for the work they are doing for Hyperliquid and the broader industry. They have been a net positive for the ecosystem, and I believe they are just getting started. Great job @dschamis for your first earnings call as CEO !! Looking forward to future ones and to seeing @HypeStrat role within the ecosystem continue to expand from here. Hyperliquid.