Sonnet BioTherapeutics, a Nasdaq-listed company, will merge with Rorschach I LLC to create Hyperliquid Strategies, a new entity focused on crypto asset management. The merger will result in Hyperliquid Strategies holding 12.6 million HYPE tokens and $305 million in cash, with a total valuation of approximately $888 million. The new company will continue to be listed on Nasdaq under a new stock code. Rorschach I LLC was established by Atlas Merchant Capital, Paradigm Operations, and other sponsors. The merger is backed by major institutions including Paradigm, Galaxy Digital, Pantera Capital, D1 Capital, Republic Digital, and 683 Capital. Hyperliquid Strategies aims to implement a crypto treasury strategy post-merger.