Native Markets Wins USDH Ticker for Hyperliquid’s New Stablecoin After Vote 

Native Markets has officially won the USDH ticker for Hyperliquid’s upcoming US dollar stablecoin, after a community vote by HYPE stakers and validators. 

This victory comes after a competitive race that drew some of the biggest names in the stablecoin and DeFi space, highlighting the growing interest in native stablecoins. 

USDH HIP-1 and ERC-20 Launch Incoming

Native Markets founder Max Fiege revealed on X that the team will roll out both the USDH HIP-1 and its ERC-20 version in the coming days.

The rollout will start with a testing phase, allowing mints and redeems of up to $800 per transaction for a select group. This will be followed by the launch of the USDH/USDC spot order book and the introduction of uncapped mints and redeems.

A Push for Independence!

Hyperliquid opened the USDH race on Sept. 5, seeking a native stablecoin to cut dependence on USDC and USDT. USDH aims to take on Circle’s USDC, which currently leads Hyperliquid with nearly $6 billion in deposits, about 7.5% of its total supply. Other stablecoins will still be supported as long as they meet liquidity and HYPE staking rules.

The race saw participation from major players including Paxos, Frax Finance, Sky, Agora, and Ethena, although several projects withdrew before the final vote.

So Why Did Native Markets Win?

Native Markets secured over 70% of validator votes. Its proposal outlined that USDH will be issued directly on Hyperliquid’s HyperEVM.

Reserves will be managed in a hybrid model: off-chain by BlackRock with assets in cash and U.S. Treasuries, and on-chain by Superstate using Stripe-owned Bridge. The reserve yields will be split equally, with half going to HYPE token buybacks and half allocated for ecosystem growth.

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USDH Launch Sparks Community Debate

The USDH bidding contest had sparked controversy across the crypto community, with some questioning the fairness of the process. Dragonfly’s Haseeb Qureshi said it seemed “custom-made” for Native Markets to win, despite competition from established players.

However, Ethena founder Guy Young praised Native Markets’ lead, calling it proof that Hyperliquid gives new players a fair shot to earn community support and succeed.

USD Could Replace Stablecoin Tickers

Mert Mumtaz, CEO of Helium Labs, argues that the USDH bidding war highlights how stablecoins have become commoditized. He predicts that in the long term, tickers like USDC or USDT will disappear from user interfaces, with apps simply showing “USD” while handling all stablecoin swaps behind the scenes. 

He notes that issuers are competing intensely, and apps that attract users now have leverage to demand better terms. 

This marks a new chapter for Hyperliquid as it moves towards stablecoin independence, and it took quite an interesting route to get here. 

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