- Hyperliquid adds USDH stablecoin, paired with HYPE and USDC, to offer users a more stable trading option.
- Native Markets locked 200,000 HYPE tokens for three years to ensure liquidity and governance alignment for USDH.
- Hyperliquid faces growing competition from Aster DEX but continues to innovate with cross-chain functionalities.
Hyperliquid has officially launched its USDH stablecoin, marking a significant milestone for the platform’s growth. The stablecoin is now live, paired with Hyperliquid’s governance token, HYPE, and USDC. This new asset brings stability to Hyperliquid’s decentralized markets, enabling users to trade with a reliable, backed asset. The addition of USDH also strengthens Hyperliquid’s ecosystem and solidifies its position in the competitive DeFi space.
In preparation for the launch, Native Markets made a strong commitment by locking 200,000 HYPE tokens for a three-year period. This strategic move ensures that liquidity remains stable, and governance is aligned as the platform introduces USDH. The stablecoin, backed by a mix of cash and short-term U.S. Treasuries, provides stability to its users. Additionally, periodic buybacks of HYPE tokens funded by returns from these reserves will further solidify Hyperliquid’s economic foundation.
Collaborative Effort to Build Liquidity
Native Markets pre-minted $15 million worth of USDH through the HyperEVM platform, partnering with the Assistance Fund to support the initial liquidity. This collaborative effort demonstrates the proactive approach Hyperliquid has taken to ensure that USDH launches with solid backing. Moreover, the governance proposal to issue Hyperliquid’s first stablecoin was approved earlier this month, receiving strong support over proposals from competitors like Paxos and Agora.
The launch of USDH comes as Hyperliquid faces mounting competition from Aster DEX, a platform backed by CZ and supported by PancakeSwap’s recent cross-chain swaps. Aster has already surpassed Hyperliquid in terms of 24-hour revenue, generating $10 million in comparison to Hyperliquid’s $3 million. However, despite this competition, Hyperliquid remains focused on its growth strategy and plans to expand the use of USDH into spot markets and USDH-margined perpetual order books.
Hyperliquid is not deterred by the competitive landscape. The platform is committed to staying ahead by integrating USDH into its spot market and developing additional features like USDH-margined perpetual order books. As decentralized exchanges (DEXs) continue to evolve, Hyperliquid’s continued focus on liquidity, stability, and innovation positions it as a key player in the DeFi space.
