USDH: The New Darling of Decadence in DeFi 🌟

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Ah, the theatre of finance! Hyperliquid’s USDH has finally graced the stage, with $2M in early trades. Behold, a stablecoin that dares to whisper, “External dependencies? How quaint.” 💎

 

On a Wednesday as ordinary as a cucumber sandwich, Hyperliquid’s USDH sashayed into the market, promptly amassing over $2 million in trading activity. Darling, it’s not just a stablecoin-it’s a statement. 🥂

This launch bestows upon Hyperliquid its first dollar-pegged asset, a jewel in its crown, and a bold stride toward emancipating itself from the clutches of external stablecoins like Circle’s USDC. How très chic! 👑

USDH: Backed by Cash and Treasuries, Because Why Not?

Issued natively on HyperEVM-the exchange’s Ethereum-compatible execution layer-USDH is as secure as a society matron’s jewelry box. Backed by cash and short-term U.S. Treasury securities, its reserves are managed through Stripe’s Bridge tokenisation platform. How utterly reassuring! 🏦

Hyperliquid just announced plans to launch its own stablecoin.

Here’s what we know so far

– CoinGecko (@coingecko)

This design, my dear, is a masterstroke. Hyperliquid retains its yield, refusing to let it trickle into the coffers of external issuers. The protocol, ever the egalitarian, splits the income: half for HYPE token buybacks, the other half for ecosystem development. A perfect balance of vanity and virtue! ⚖️

Governance Vote: A Drama Fit for the West End

The right to issue USDH was decided in a governance vote, a spectacle as riveting as a Wildean drawing-room comedy. Native Markets, a crypto startup backed by Hyperliquid investor Max Fiege and other luminaries, emerged victorious with over two-thirds of validator support. Bravo! 🎭

Hyperliquid currently loses >$200m a year to firms who treat it as an afterthought at best.

I’m co-founding Native Markets to reclaim this value leakage for the ecosystem and to kickstart Hyperliquid’s next chapter.

– max.hl (@fiege_max)

The bidding process, however, was not without its intrigues. Proposals from Paxos, Frax Finance, Agora, Curve, OpenEden, Bitgo, and Ethena (who later endorsed Native Markets) added a dash of melodrama. Yet, some industry voices-like Haseeb Qureshi of Dragonfly-hinted at favoritism. Tsk, tsk. 🕵️‍♂️

Despite the whispers, Native Markets secured the win, now entrusted with managing billions in flows through USDH. The weight of responsibility! Or is it just the weight of their egos? 🤔

USDH Launches Amidst a Market Farce

Hyperliquid, once the undisputed prima donna of decentralised derivatives exchanges, has seen its market share dwindle from 70% to a mere 35%. New rivals like Aster are stealing the spotlight. Oh, the fickleness of fame! 🎭

In July, Hyperliquid processed $330 billion in volume with a team of just 11 members. But now, competition is as fierce as a society matron’s gossip. Can USDH restore its glory? Only time will tell. ⏳

USDH: The New Crown Jewel of Hyperliquid’s Ecosystem

By introducing USDH, Hyperliquid has tightened its grip on liquidity and reserve income, reducing its reliance on USDC, which once accounted for over 90% of platform deposits. A bold move, indeed! 💪

For users, USDH offers a stable asset that circulates within Hyperliquid, while generating yield that benefits both HYPE holders and developers. A win-win, or as they say in high society, a “win-win-darling.” 🎉

The Outlook for USDH: A Tale of Triumph or Tragedy?

The arrival of USDH is a watershed moment for Hyperliquid, allowing it to internalize its stablecoin activity, deepen liquidity, and fuel long-term growth. But with rising competition and governance questions looming, will it soar or stumble? 🌪️

How Hyperliquid navigates these challenges will determine whether USDH becomes a DeFi darling or a forgotten footnote. After all, darling, in the world of crypto, only the most audacious survive. 🦁

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2025-09-26 09:07