Ethena has unveiled its proposal to issue the USDH stablecoin on the Hyperliquid platform, backed by Anchorage and BlackRock's BUIDL fund.
Ethena's Proposal for USDH
Ethena has officially announced its intention to launch the USDH stablecoin for Hyperliquid. The proposal, submitted on September 9, emphasizes institutional reliability and regulatory compliance. USDH will be fully collateralized by USDtb, a payment token approved by BlackRock and issued by Anchorage, solidifying Ethena's position as a key competitor alongside projects like Sky, Frax, and Agora.
Financial Initiatives and Security
A standout feature of Ethena’s proposal is the commitment to channel at least 95% of the net revenues from USDH reserves back to the Hyperliquid community. These funds will be used to support the Assistance Fund and buybacks of Hyperliquid tokens (HYPE). To enhance security, Ethena advocates for a guardian validator network with the authority to intervene and safeguard the ecosystem in crisis scenarios.
Growth Prospects and Hyperliquid Development
Ethena also pledges $75 million for ecosystem incentives to expand Hyperliquid’s offerings, including new products. With an existing USDe balance sheet exceeding $13 billion, the company is positioned to potentially scale USDH to a multi-billion dollar supply.
Ethena's proposal for USDH appears to be a significant step towards the growth of Hyperliquid and strengthening its market presence.
