Hyperliquid’s USDH Stablecoin Goes Live, Kicks Off Action With $2.3M Volume In Early Trading

Hyperliquid’s (HYPE) native stablecoin USDH, developed by Native Markets, officially started trading on Wednesday.

Early action looks steady but active, with around $2.3 million exchanged in the USDH/USDC pair since the market opened, according to data on CoinMarketCap, which shows trading volume climbing more than 37% since launch.

The issuer said that USDH is fully backed by cash and short-term U.S. Treasuries, with reserve data verified by oracles. Part of the yield from reserve management will be used to buy back HYPE tokens, creating a feedback loop for the ecosystem.

However, the launch did not boost HYPE’s price, which fell nearly 4% in the last 24 hours. Stocktwits data showed retail sentiment rising within ‘neutral’ territory, accompanied by ‘high’ levels of chatter over the past day. 

USDH is the first dollar-pegged token approved through Hyperliquid’s validator-driven selection process. Built on the HyperEVM network and secured by HyperCore, Native Markets beat out Paxos, Frax, Agora, and others in a vote earlier this month. 

HyperCore serves as a high-performance on-chain order book for trades, and HyperEVM, an Ethereum (ETH) Virtual Machine-compatible layer, lets developers build apps and smart contracts on top. USDH is designed to slot directly into this setup and meet U.S. as well as European regulatory standards. With its own stablecoin, Hyperliquid is looking to reduce reliance on outside stablecoins like Tether’s USDT and Circle’s USDC.

Competition in the stablecoin space has been intensifying this year with the U.S. government taking a more crypto-friendly stance under the Trump administration. Earlier this month, Tether announced plans to launch a U.S.-based stablecoin called USAT by the end of 2025, led by former White House official Bo Hines. Stripe, JPMorgan, Bank of America, Wells Fargo, and Citigroup have disclosed plans for launching stablecoins.

Read also: Tether CEO Confirms Targeting Up To $20B Fundraise, Valuation Could Rival OpenAI

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