Paxos Proposes USDH Stablecoin for Hyperliquid with 95% Revenue Share to HYPE Buyback

Paxos has submitted a proposal to issue USDH, Hyperliquid's first native stablecoin, pledging to allocate 95% of interest earnings from reserves toward buybacks. The blockchain infrastructure provider, bolstered by its acquisition of Molecular Labs and a decade of stablecoin expertise, emerges as the leading candidate for validator selection.

Hyperliquid prepares to launch its native stablecoin through a validator vote process, simultaneously slashing trading fees by 80%. The decentralized exchange reserved the USDH ticker and invited deployment proposals, with selection determined by on-chain validator consensus.

Paxos Labs, established to accelerate stablecoin adoption in decentralized ecosystems, will prioritize Hyperliquid. The acquisition of Molecular Labs, the infrastructure provider behind LHYPE and WHLP tokens, strengthens Paxos' position in the Hyperliquid ecosystem.