As the cryptocurrency landscape evolves, a crucial vote is underway to determine the native stablecoin of Hyperliquid. Native Markets, backed by industry giant Stripe, is currently leading, although the contest remains tightly contested.
Native Markets Takes an Early Lead
- A high-stakes vote is being conducted to select Hyperliquid’s native stablecoin.
- Native Markets, aligned with Stripe, has taken a slender early lead.
- The victor will control a significant financial asset worth $5.5 billion and a crucial DeFi pathway.
The first shots have been fired in a fiercely competitive race for the financial heart of one of the fastest-growing cryptocurrency exchanges. The race to mint Hyperliquid’s native stablecoin, USDH, is now on, with Native Markets gaining a slight advantage in the early rounds.
As of Thursday morning in Hong Kong, Native Markets secured 30.8% of the delegated voting power, a lead cultivated through support from influential validators such as infinitefield.xyz and Alphaticks. However, its closest competitors, Paxos Labs and the innovative Ethena, lag behind at 7.6% and 4.5%, respectively. Other contenders, despite impressive proposals, have yet to gain significant traction.
Indecisive Whales and the Path to Victory
This race will not be won in its early stages. The larger picture reveals that over half of the total voting power—approximately 57%—remains unattached. This silent majority includes some of the most potent validators within the Hyperliquid network, including the largest, Nansen x HypurrCollective, which alone holds over 18% of the votes, along with institutional heavyweight Galaxy Digital.
The ultimate outcome hinges on where these titans will cast their votes. Their decisions will determine whether Native Markets’ initial momentum is a decisive opening strike or merely a fleeting advantage in a long and unpredictable battle. The deadline for this critical decision is set for September 14.
The Stakes Are Immense
The implications of this contest are monumental. More than a mere token launch, it represents a struggle to integrate a new stablecoin into the financial backbone of a DeFi powerhouse. Hyperliquid currently holds an astounding $5.5 billion in USDC deposits, accounting for roughly 7.5% of the total USDC supply in circulation.
Replacing this with USDH would constitute a seismic shift, redirecting hundreds of millions in annual yield from Treasury into the winning protocol. Contenders have come forward with lavish promises to entice validators. Paxos has pledged to allocate 95% of its profits towards the buyback of Hyperliquid’s native token, HYPE. Similarly, Frax promised 100% of its yield directly to users, while Agora has offered both 100% of its net yield along with institutional-grade custody.
With Hyperliquid already controlling nearly 80% of the decentralized perpetual trading market, the eventual victor of this contest will not only mint a stablecoin but will also pave a new foundational rail for the future of decentralized finance.
Market Updates
- BTC: Bitcoin is trading at $114,053, marking a 2.6% increase over the last 24 hours. This upward movement reflects a short-term rebound fueled by positive risk sentiment, despite ongoing long-term consolidation.
- Ethereum: Currently priced at $4,373.99, Ethereum has risen by 2%, as investors overlook a recent massive reduction impacting more than 30 validators, showcasing the underlying resilience of the network.
- Gold: Gold hovers near $3,635 per ounce after peaking at $3,674 on Tuesday. Investors await U.S. inflation data, while investment bank ANZ has raised its year-end target for gold to $3,800, forecasting a potential peak of $4,000 by next June.
