Forget AI Stocks: 2 Cryptocurrencies to Consider Buying Instead

Hyperliquid is up 220% year to date and 2,376% since its November 2024 launch, while Zcash has gained 136% year to date and reached a reported $20 billion market cap. The article highlights new spot ETFs, including a Zcash fund that reportedly surpassed $1 billion in assets within its first 30 days, but flags uncertainty around U.S. regulatory access for Hyperliquid and whether either token’s momentum can persist.

Analysis

The proposed “AI-to-crypto” rotation is not a reliable hedge: both themes remain sensitive to liquidity and speculative risk appetite, so an AI drawdown could pressure these tokens alongside other high-beta assets. Hyperliquid’s upside is more directly tied to durable trading activity, fee economics and token value capture than to U.S. access alone. A U.S. opening could expand addressable volume, but would also bring compliance costs and competition from established derivatives venues; regulatory permission is not equivalent to attractive token economics. For Zcash, privacy demand may support interest, while the same feature raises a distinct risk of exchange restrictions or regulatory scrutiny. An ETF wrapper does not remove that underlying risk.

Near term, treat the article’s ETF-launch and asset-growth claims as catalysts to verify against issuer filings and actual creations/redemptions; headline AUM is not proof of persistent net demand. Over 1–3 months, monitor U.S. regulatory developments, platform volumes and token value-capture disclosures. Over 6–18 months, the key test is whether use and fee generation persist beyond the current narrative. The contrarian point: dramatic past appreciation and access products can amplify crowded positioning rather than validate fundamental value. No broad “AI replacement” trade is warranted on this evidence.

Key Decisions for Investors

• Do not rotate an AI allocation wholesale into these assets. If taking exposure, size it as speculative crypto risk and stage entries rather than chase a sharp rally.
• Watch Hyperliquid for verified volume, fee/value-capture data and concrete U.S. regulatory progress. Consider exposure only if adoption and token economics improve together; reassess if volumes weaken or U.S. access faces a material setback.
• For Zcash, verify ETF net creations and exchange support before treating reported AUM as durable demand. Reduce or avoid exposure if major venues restrict trading or regulatory scrutiny escalates.
• Falsification watch: sustained deterioration in crypto liquidity, falling platform activity, ETF redemptions, or adverse regulatory action would undermine the thesis. Until these checks clear, prefer no trade over a forced AI-versus-crypto pair.