What is USDH? HYPE's next big airdrop? one ️⃣ 9/5 Hyperliquid (HL) launches its first major governance vote: awarding long-term USDH tickets to "HL priority, HL alignment, and compliance" issuers of US dollar stablecoins. This is different from the usual 31 hour ticker Dutch auction (which has previously captured nearly 1 million US dollars for HYPE), aiming to partially "bring back the profits and discourse power enjoyed by USDC for many years to the HL ecosystem". two ️⃣ Why is it important? Approximately 5.5-5.6 billion USDC will be used as a long-term margin/settlement currency within HL, and the interest generated will mainly return to Circle/(partially) Coinbase; USDH makes it possible for "reserve income → HYPE/aid fund/ecological expansion". This is also the first complete governance test of HL besides the delisting mechanism. three ️⃣ Timeline (UTC) 9/10 10:00: Proposal deadline 9/11 10:00am: unverifier's public stance 9/14 10:00-11:00: On chain voting (staking weight system; Foundation related validators abstain first to ensure that independent validators meet the legal threshold) The pledger can delegate to a like-minded verifier before voting. Voting situation https://www.usdhtracker.xyz/ Chinese Community https://t.me/hyperliquid_asia Another thing worth mentioning is that most communities can only give tickets to validators, so ultimately it is the validators who decide who to vote for. It seems like @ nansen'ai+@ hypurr_co are currently investing in the Native Market. four ️⃣ Voting rules: The required number of people and at least 2/3 of the total pledged votes must be in favor. Due to the announcement by the foundation/large pledge provider that they will not directly participate, the decision actually falls into the hands of independent validators. five ️⃣ Contestants (in alphabetical order): Agora, BitGo, Curve (dUSDH package), Ethena (withdrawn), Frax, Native Markets, OpenEden, Paxos, Sky... Most even if they don't win, they will still deploy the HL version. six ️⃣ @ Ethena_1abs (withdrawn): collateralized with USDtb (Anchorage issued, supported by BlackRock BUIDL), 95% of net income will be returned to HL, and a commitment will be made to subsidize the migration/market making costs of trading pairs; Announced withdrawal after 9/12 to increase the win rate of Native Markets. seven ️⃣ @ Paxos: Established issuers (BUSD, PYUSD), new proposal linked to PayPal/Venmo, 20M ecosystem incentive; The income distribution adopts a TVL ladder, with Paxos retaining a maximum of 5%, aiming to meet GENIUS/MiCA compliance and provide global fiat currency deposits and withdrawals. eight ️⃣ Native Market: HL native, led by @ fiege_max (former member of @ LiquityProtocol); The reserves are planned to be managed by BlackRock/Superstate (through Bridge), with 50% of the returns being used to support the fund and 50% for ecological expansion (HIP-3/Builder interface/HyperEVM application); The verification process has been carried out on the testing network and the main network, and the community voice/prediction market is currently leading. nine ️⃣ @ WithAUSD: @ vaneck_us+State Street supply chain, 100% net return to HL (aid fund/HYPE repurchase determined by quarterly voting), 10M first day liquidity; LayerZero cross chain, Cross River/Customers Bank fiat channel. @ Frax: will issue USDH through a local issuance model of federally regulated banks (pending final legal action); Bottom tier 1:1 Treasury Bond Fund (BlackRock/Superstate/WisdomTree/Fundity); The issuer will receive a 0% commission, and the distribution of 100% government bond yields on the chain to HL will be determined by governance. one ️⃣ one ️⃣ Sky (formerly MakerDAO): With its PSM providing instant USDC redemption liquidity, it claims a 4.85% return on the HL end directed towards HYPE repurchase and assistance funds, and reserves space for future GENIUS alignment through governance modularization. one ️⃣ two ️⃣ @ OpenEden'X: TBILL (Short Term Bond Fund); BNY Mellon is a reserve, with a BMA license and SAC structure; 100% of the casting/redemption fee will be used for HYPE repurchase, and 3% EDEN will be allocated as a USDH adoption reward. one ️⃣ three ️⃣ @ BitGo: The trust map covers multiple jurisdictions, with a focus on 24/7 fiat/USD/USDT redemption, half month audit, and Chainlink reserve certification; Automatic purchase/pledge of HYPE profits, with a maximum pledge limit of 20% by a single validator to prevent concentration. one ️⃣ four ️⃣ @ CurveFinance Route: Propose a "dual track system": regulated issuers (such as Paxos/Agora) are responsible for USDH, while introducing dUSDH (crvUSD/LAMMA class CDP) on HL as a decentralized counterpart, strengthening leverage/circulation strategies and the value flywheel of HYPE and HLP. one ️⃣ five ️⃣ Who is most likely to win? After Ethena withdrew, Native Markets took the lead in predicting the market and most early statements, while Paxos closely followed with compliance and PayPal entry; But ultimately it still depends on the independent verifier's choice between "HL priority vs. compliance/scale". one ️⃣ six ️⃣ HYPE is sure to win: Regardless of who wins the bid, the return on investment (HL) has become almost a consensus (95% -100% range), while strengthening the fiat currency deposit and withdrawal/compliance path (Paxos/BitGo/Agora, etc.) or expanding the decentralized leverage/strategy space (Curve/Frax route). The USDH campaign officially established the transmission axis of "Treasury yields → HYPE/ecology". one ️⃣ seven ️⃣ Practical reminder: If you receive a ticket ≠, immediately switch to quoting in USDH; USDC is deeply rooted in the HL trading experience, and its true adoption still depends on liquidity, integration, market making, compliance, and execution. Therefore, many teams will deploy their local currency versions in advance even if they do not win. one ️⃣ eight ️⃣ How should you check the tickets? To achieve the strongest legal compliance and fiat currency entry: check Paxos/BitGo/Agora. To achieve native alignment and ecological torque: Check out Native Markets. To receive zero commission/full profit return to the community: watch Frax/Agora. To instantly redeem/PSM against existing large asset sheets: check out Sky. To achieve decentralized duality: Look at Curve's dUSDH pairing (in parallel with regulated USDH). More information - https://((((x.com))))/glxyresearch/status/1965944300770140390 - https://((((x.com))))/narwhaltan/status/1963999803148574924 - https://((((x.com))))/yoliu_/status/1966123184618381554 - https://((((x.com))))/narwhaltan/status/1963999803148574924