Why Is Hyperliquid Stock Surging On Friday?

Hyperliquid Strategies Inc. (NASDAQ:PURR) shares are up almost 8% during Friday’s premarket session as traders react to the SEC’s approval of innovation relief tied to tokenized U.S. stock trading on public blockchains. The SEC said Thursday it issued the Innovation Exemption, allowing Tokenized Securities Venues (TSVs) to temporarily trade tokenized U.S. stocks on public blockchains through automated market makers. The relief also covers liquidity providers in those pools under the securities-law dealer definition and lasts five years. TSVs must ensure tokenized stocks retain traditional shareholder rights, including dividends and voting. Smart contracts must be public, auditable and deployed on permissionless blockchains. Issuers can block their stocks from TSV trading, primary-exchange halts must automatically halt tokenized ve...