Ethena Labs Joins USDH Bidding as Sixth Contender
- Ethena Labs has submitted a proposal to become the issuer of Hyperliquid’s USDH stablecoin, marking its entry as the sixth bidder.
- The proposal includes backing USDH entirely by USDtb, a stablecoin associated with BlackRock’s BUIDL fund.
- Ethena promises to return 95% of reserve revenue to the Hyperliquid community and invest at least $75 million in ecosystem incentives.
- The bidding process follows proposals from other major players including Paxos, Frax Finance, and Sky.
- Hyperliquid’s native token HYPE reached an all-time high of $55.04 amid the bidding excitement.
The competition for USDH will determine control over significant liquidity on one of DeFi’s fastest-growing exchanges, with Ethena aiming to enhance community engagement and security through a validator network.
As Ethena proposes a robust plan backed by substantial financial commitments, it seeks to leverage its position as the third-largest stablecoin issuer with over $12.9 billion in market value. (Source)
