Hyperliquid Launches USDH Stablecoin After Validator Vote

Hyperliquid has launched its native USDH stablecoin on the HyperEVM chain after a validator vote on September 14 that selected Native Markets as the reserve manager. The USDH stablecoin is collateralized by cash and U.S. Treasuries, with reserves tokenized via Stripe’s Bridge. Traders can mint USDH through its USDC pair, which saw nearly $2 million in volume in its first days. As Hyperliquid’s on-chain unit of account and collateral, USDH stablecoin aims to retain liquidity and yield within the DeFi derivatives ecosystem, reducing reliance on external tokens. The stablecoin issuance attracted bids from Paxos, Frax Finance (FRAX), Curve (CRV) and other issuers, with Native Markets committing to split reserve income between HYPE token buybacks and ecosystem funding. Despite scrutiny from Dragonfly’s Haseeb Qureshi over governance fairness, Native Markets secured over two-thirds of votes. In the week following launch, Hyperliquid’s HYPE token dipped about 7%. Meanwhile, competition from Aster on BNB Chain has intensified, with daily perpetual trading volumes reaching $30 billion versus Hyperliquid’s $10 billion. Traders should monitor governance reports, liquidity metrics and derivatives volumes to gauge USDH adoption and its impact on market dynamics.