Paxos Unveils USDH Proposal V2 with Major Upgrades for Hyperliquid Ecosystem

Paxos has released its USDH Proposal V2, a framework designed to align its success with Hyperliquid's growth. The updated proposal includes three major upgrades aimed at scaling Hyperliquid globally. Key features include listing HYPE on PayPal and Venmo, offering free USDH on/off-ramp products, and a $20 million incentive commitment from PayPal for global payment integration.

The revamped rewards structure is AF-first, with Paxos earning only after TVL milestones are achieved. Fees are capped at 5% beyond $5B TVL, with all fees held in HYPE tokens and reinvested. The initiative builds on PayPal's recent 'Pay With Crypto' solution, which now supports USDH and HYPE.

Paxos emphasizes its partnership with PayPal as a cornerstone for distribution efforts, signaling a strategic push into mainstream payment ecosystems. The MOVE reflects broader institutional adoption trends in stablecoin integration.