Arthur Hayes Dumps HYPE and NEAR Despite Recent Praise, Citing AI IPOs and Market Risks
Arthur Hayes has liquidated his entire holdings in Hyperliquid’s HYPE token and Near Protocol’s NEAR, marking a sharp reversal from his recent bullish stance on both assets.
The BitMEX co-founder and Maelstrom chief investment officer revealed the decision on Thursday via X, pointing to a mix of macroeconomic and political factors that have altered his near-term outlook for risk assets. Hayes said rising energy prices, fueled by ongoing conflict in the Middle East and global inventory replenishment, could create additional pressure on speculative investments, including cryptocurrencies.
Another major concern is the wave of anticipated artificial intelligence IPOs expected before the end of the third quarter. Hayes believes that several high-profile AI listings could attract significant investor capital, potentially diverting liquidity away from digital assets. While he did not identify specific companies, firms such as OpenAI, Anthropic, and SpaceX have been widely discussed as potential public-market candidates.
Hayes also suggested that U.S. President Donald Trump could adopt a tougher position on AI-related industries ahead of the November midterm elections, a development that may weigh on blockchain projects closely tied to the AI narrative. Near Protocol has increasingly promoted itself as an AI-focused blockchain ecosystem, making it particularly exposed to any shift in sentiment surrounding the sector.
Despite selling his positions, Hayes maintained that broader market highs could still occur between now and September. However, he indicated that locking in profits at current levels was the more prudent move given the evolving macro backdrop.
The move surprised many market participants because Hayes had expressed strong confidence in both projects only days earlier. During a late-May appearance on The Rollup podcast, he praised Hyperliquid’s tokenomics model, highlighting its lack of venture capital token sales and its revenue-sharing approach, which directs a substantial portion of platform earnings back to token holders.
He also argued that Hyperliquid had expanded retail access to around-the-clock trading opportunities in markets traditionally unavailable on weekends, including commodities such as oil.
At the same time, Hayes outlined an ambitious long-term outlook for NEAR, suggesting the protocol could eventually achieve significant growth through its multichain architecture and privacy-focused transaction capabilities. He also previously cited Zcash as another asset with substantial upside potential.
The abrupt portfolio shift sparked criticism across social media, where some users questioned the timing of Hayes’ decision after he had publicly championed HYPE, NEAR, and ZEC as his preferred crypto investments just weeks earlier. Critics accused him of promoting the assets before exiting his positions, though Hayes has promised a more detailed explanation in an upcoming essay scheduled for publication on June 9.
Following the announcement, both tokens came under pressure. Hyperliquid’s HYPE fell more than 8% over the past 24 hours, while NEAR suffered a steeper decline of nearly 18%, reflecting investor concerns over Hayes’ changing outlook and broader market uncertainty.