Circle has announced the deployment of native USDC and Cross-Chain Transfer Protocol (CCTP) V2 on the HyperEVM platform, which is expected to have a positive impact on decentralized finance.
USDC and CCTP V2 Deployment on HyperEVM
Circle announced the deployment of native USDC and the CCTP V2 on HyperEVM, Hyperliquid’s smart contract layer. This deployment enables direct minting without relying on wrapped assets, enhancing cross-chain operational capabilities.
Market Impact and Liquidity
This move has already impacted the market, with Hyperliquid witnessing a 3% rise in its HYPE token following the announcement. Over $1.2 billion in USDC recently flowed into Hyperliquid, indicating increased liquidity and positive investor sentiment.
Outlook and Potential Outcomes
The deployment of USDC is expected to streamline cross-chain swaps and enhance treasury operations. Circle's regulated approach strengthens USDC’s institutional adoption, supporting compliance and reducing settlement friction across networks.
With the deployment of USDC on HyperEVM, Circle aims to solidify its position in decentralized finance, reducing risks and enhancing liquidity, which may, in turn, increase trust among institutional investors.
