Hyperliquid, a decentralized exchange and layer-1 chain, is at the center of a heated governance battle over its proposed stablecoin, USDH. The initiative aims to introduce a proprietary dollar-pegged token that could potentially replace the $5.5 billion market share of USDC. Despite the potential market impact, the proposal has faced significant pushback from the community, with concerns over fairness and control being raised. The Hyperliquid Foundation has announced that validators will vote on the USDH ticker, marking a crucial governance test for the protocol. Meanwhile, major crypto protocols, including Sky, have shown interest in managing the stablecoin, highlighting the competitive landscape surrounding its launch. As the debate unfolds, the outcome could set a precedent for governance and stablecoin issuance in the decentralized finance sector.
Hyperliquid's USDH: A Game-Changer in the Stablecoin Market?
September 09, 2025
1 min read
Hyperliquid, a decentralized exchange and layer-1 chain, is at the center of a heated governance battle over its proposed stablecoin, USDH. The initiative aims to introduce a proprietary dollar-pegged token that could potentially replace the $5.5 billion market share of USDC. Despite the potential market impact, the proposal has faced significant pushback from the community, with concerns over fairness and control being raised.