Nasdaq-listed Sonnet BioTherapeutics has agreed to merge with Rorschach I LLC to form Hyperliquid Strategies Inc., a crypto asset management firm focused on building a treasury reserve strategy around the Hyperliquid Layer-1 blockchain and its native token, HYPE. The newly created entity is valued at approximately $888 million and will hold 12.6 million HYPE tokens, worth about $583 million, alongside $305 million in cash. The merger marks Sonnet's strategic pivot from biotechnology to cryptocurrency asset management. The deal is backed by investment firms Paradigm, Galaxy Digital, Atlas Merchant Capital, and Pantera Capital. Following the announcement, Sonnet's shares surged over 180%, with some reports indicating gains exceeding 300%. Hyperliquid Strategies aims to become one of the largest public companies holding HYPE tokens, launching a treasury strategy centered on this digital asset.