Ethena Withdraws from USDH Bid, Favoring Native Markets
- Ethena exited the bid for Hyperliquid’s USDH stablecoin after community concerns about their non-native status.
- Native Markets is now predicted to have a 92% chance of winning the bid, with Paxos trailing at around 7% on Polymarket.
- Critics have raised questions about the fairness of the bidding process, suggesting it favored Native Markets due to their early proposal submission.
- The USDH vote will take place on Sunday, requiring a two-thirds majority of staked HYPE tokens to pass.
- Approximately $5 billion in USDC is currently held on Hyperliquid, representing about $200 million in potential annual revenue for Circle.
Ethena’s withdrawal signifies a pivotal moment in the bidding process for Hyperliquid’s USDH stablecoin, as community feedback played a crucial role in shaping outcomes. The upcoming vote will determine which project can effectively manage a significant portion of the stablecoin market.
With Ethena stepping aside, Native Markets now leads with strong backing, while concerns over bid fairness continue to emerge amid this competitive landscape. (Source)
