Ethena Joins Race for Hyperliquid's Stablecoin With BlackRock-Backed Proposal

Core Insights - Ethena (ENA) has submitted a proposal to issue Hyperliquid's upcoming stablecoin, joining a competitive bidding process that includes companies like Paxos, Sky, Frax, and Agora [1][4] - The proposed stablecoin will be fully backed by Ethena's USDtb, which is issued in partnership with Anchorage Digital and backed by BlackRock's BUIDL fund [1][2] - Ethena has committed to directing 95% of net revenue from USDH reserves back to the Hyperliquid ecosystem and will facilitate the migration of existing USDC trading pairs to USDH [3] Company and Industry Summary - Ethena aims to provide institutional-grade cash management and on-chain liquidity through its USDtb stablecoin, which is fully backed by BUIDL [2] - The competition for the issuance of Hyperliquid's USDH stablecoin is intensifying, with nearly $400 billion in perpetual trading volume executed by Hyperliquid last month, making it a lucrative opportunity for stablecoin providers [4] - Validators are scheduled to vote on the proposals for the stablecoin issuance on September 14 [4]