Solana News Today: Lion Group Bets Big on HYPE, Dumps SOL and SUI for DeFi Growth

Lion Group Holding Ltd. (Nasdaq: LGHL), a Singapore-based operator of an all-in-one trading platform, has announced a strategic reallocation of its cryptocurrency portfolio, shifting all holdings of Solana (SOL) and Sui (SUI) tokens to Hyperliquid (HYPE). This move comes after BitGo Trust Company launched institutional custody solutions for HYPE in the U.S., providing regulated and compliant storage options for corporate investors like LGHL. The company aims to optimize its crypto portfolio by leveraging Hyperliquid’s Layer 1 blockchain and decentralized perpetual futures exchange capabilities [1].

The transition involves the gradual conversion of approximately 1.01 million SUI and 6,629 SOL into HYPE, using a disciplined accumulation process designed to reduce average acquisition costs and manage market volatility [2]. CEO Wilson Wang described Hyperliquid as “the most compelling opportunity in decentralized finance,” citing its on-chain order book and efficient trading infrastructure as key advantages. This strategy aligns with the company’s broader mission to explore emerging technologies and innovative trading solutions for its corporate and retail clients [3].

Hyperliquid’s rise in the decentralized finance (DeFi) space has been notable, with the platform capturing 70% of the DeFi perpetual futures market. In August 2025, Hyperliquid generated $106 million in revenue, representing a 23% increase from the previous month, alongside $383 billion in monthly trading volume. The platform ranks sixth among decentralized exchanges, with $420 million in daily flows and a total value locked (TVL) of $1.75 billion [4].

Lion Group began acquiring HYPE tokens in late June as part of its Hyperliquid treasury initiative. At the time, the company stated it would continue acquiring SOL and SUI. However, the recent shift reflects a recalibration of its investment priorities, favoring HYPE due to its robust trading infrastructure and growing market presence. This strategic decision is seen as a long-term bet on the potential of Hyperliquid’s ecosystem, especially with the launch of institutional custody solutions that enhance regulatory compliance and security [5].

The company’s phased approach to the conversion is expected to minimize exposure to market volatility and maximize the benefits of dollar-cost averaging. This method also allows for flexibility in responding to market conditions, ensuring that the transition does not disrupt the company’s overall financial strategy. Despite the lack of detailed information on the size of current holdings and specific timelines, the move signals LGHL’s confidence in the Hyperliquid platform and its potential to drive sustained growth in the crypto sector [5].

Lion Group’s decision to reallocate its treasury away from SOL and SUI highlights a growing trend among Nasdaq-listed companies to diversify their crypto reserves into tokens with higher growth potential. This trend includes companies like Eyenovia, Tony G Co-Investment Holdings, and Sonnet BioTherapeutics, all of which have made significant investments in HYPE. LGHL’s shift is expected to further solidify HYPE’s position as a preferred asset in corporate treasuries, especially for firms seeking institutional-grade trading infrastructure in the DeFi space [4].

Source:

[1] Lion Group Plans to Swap SOL, SUI Holdings for HYPE (https://www.coindesk.com/business/2025/09/08/lion-group-plans-to-swap-sol-sui-holdings-for-hype)

[2] Lion Group Holding Ltd. Announces Strategic Treasury Reallocation: Converting SOL and SUI Assets to Hyperliquid (HYPE) following U.S. Institutional Custody Milestone (https://www.prnewswire.com/news-releases/lion-group-holding-ltd-announces-strategic-treasury-reallocation-converting-sol-and-sui-assets-to-hyperliquid-hype-following-us-institutional-custody-milestone-302548734.html)

[3] Nasdaq Firm Dumps 1M SUI & 6.6k SOL for HYPE (https://finance.yahoo.com/news/nasdaq-firm-dumps-1m-sui-173206743.html)

[4] Lion Group to Convert SOL, SUI Holdings to Hyperliquid ... (https://www.stocktitan.net/news/LGHL/lion-group-holding-ltd-announces-strategic-treasury-reallocation-vbzvbgn1etu3.html)