Hyperliquid’s USDH: The Stablecoin Showdown That Shook USDC’s Empire! 💰💥

by

Key Takeaways

Who won the race for Hyperliquid’s USDH stablecoin ticker?

In the grand theater of blockchain governance, Native Markets, that most cunning of players, secured the USDH ticker with a performance so masterful it left the validator community weeping into their keyboards. With nearly 70% of the votes, it was as if the collective will of the people had declared, “Let this stablecoin be, and let it be Native Markets!”

Which firms did Native Markets beat?

Paxos, BitGo, and Ethena, those venerable titans of the digital age, found themselves outmaneuvered by the nimble Native Markets. Prediction markets, those modern-day oracles, whispered of Native Markets’ triumph with the certainty of a winter snowfall in Siberia. 🐍

The race for Hyperliquid’s USDH ticker, a contest of wits and wallets, has reached its denouement. After a week of bidding wars and validator deliberations, the curtain fell on Native Markets as the victor. The exchange’s U.S. dollar stablecoin, USDH, is now theirs to mint, redeem, and perhaps occasionally forget to back with real money. 🤑

Native Markets wins the USDH ticker

Max Fiege, the indomitable founder of Native Markets, took to X (formerly Twitter) to announce, “We will deploy USDH soon, test it with a select few, and then unleash chaos upon the stablecoin market.” His words, though calm, carried the weight of a man who had just stolen the crown jewels of DeFi. 🎩

“We will be deploying both the USDH HIP-1 and corresponding ERC-20 within days. We will then start with a testing phase for mints and redeems of up to $800/tx with an initial group, to be followed by the opening of the USDH/USDC spot order book as well as uncapped mints & redeems.”

For those unfamiliar with the ballet of blockchain proposals, Native Markets moved with the speed of a Russian winter storm, submitting their bid 90 minutes after Hyperliquid’s call to action. They refined their plan with the grace of a Tolstoyan character redeeming themselves, all while the Hyperliquid Foundation, ever the aloof aristocrat, abstained from voting. 🧊

Other competitors

Paxos, BitGo, and Ethena, though mighty in their own right, were no match for Native Markets’ relentless charm. On-chain data revealed a landslide victory: 70% for Native, 20% for Paxos, and a paltry 3.2% for Ethena. The latter, with such a small share, might as well have tried to outshine the sun with a candle-a valiant but futile effort. 🕯️🔥

Each bidder, in their desperation to win, pledged to pour stablecoin yields back into Hyperliquid’s ecosystem. Some promised to fund the Hyperliquid Assistance Fund, others to buy back tokens, and one particularly ambitious soul even threatened to “support quote assets”-a phrase that now haunts the dreams of USDC holders. 💸

Momentum, that fickle muse of the market, turned decisively toward Native Markets. When Ethena withdrew, the prediction markets, those digital soothsayers, gave Native Markets a 99% chance of victory. The validators, it seemed, had already made their choice long before the final vote. 🎲

Controversy alert!

Yet, even in victory, shadows linger. Critics, such as Haseeb Qureshi of Dragonfly Capital, raised their voices in protest, questioning the fairness of the process. “None of the validators wanted to consider anyone but Native Markets,” he lamented, “as if a backroom deal had already been struck over a shared vodka and caviar.” 🥄

“Hearing from multiple bidders that none of the validators are interested in considering anyone besides Native Markets. It’s not even a serious discussion, as though there was a backroom deal already done.”

One might imagine the validators sipping tea in a dimly lit room, whispering, “Native Markets, Native Markets… yes, them again.” The air was thick with intrigue, and the question lingered: was this democracy, or merely a well-rehearsed farce? 🎭

Will USDH rule USDC?

With USDH now in play, Circle’s USDC, that $6 billion colossus, faces a challenger. Yet, DeFiLlama’s data reveals USDC still holds its ground, its reserves a fortress of dollar-backed might. Hyperliquid, ever the pragmatist, has vowed to support USDC and others, but only if they stake 200,000 HYPE (about $10 million) and maintain a “strong peg” to $1. A task as easy as herding cats, one might think. 🐱

Still, the ripples of USDH’s arrival are felt. Circle’s stock, once buoyant, has plummeted 16% since the announcement, while HYPE itself has taken a 1.09% dip. The market, that fickle beast, watches and waits, its tail twitching with uncertainty. 📉

And so, the tale of USDH unfolds-a story of ambition, competition, and the eternal struggle for dominance in the digital realm. Whether it will dethrone USDC remains to be seen, but one thing is certain: the stablecoin wars have only just begun. ⚔️

Read More

2025-09-15 11:27