RT Mike Dudas (@mdudas)It is not sufficient that we must winWe must also slander our opponents in victoryThe @paxos team, who are people of great integrity and quality, assure me these accusations are not trueI know them well and believe them ...

USDH Stablecoin Initiative - Hyperliquid aims to launch USDH to stimulate spot markets, reduce reliance on USDC, and enhance exchange efficiency [1] - USDH will reduce trading fees by 80% in select spot pairs, strengthening HyperCore [2] - A native stablecoin could recycle approximately $200 million in USDC revenue to fuel Hyperliquid's growth [2] Competitive Landscape - Three leading contenders for issuing USDH are Native Markets, Ethena, and Paxos [3] - Native Markets offers revenue splits for HYPE buybacks and growth incentives, with strong regulatory alignment [4] - Ethena Labs promises $75 million to grow USDH and partnerships with Securitize and Anchorage Digital [5] - Paxos proposes a PayPal partnership, HYPE listings on PayPal/Venmo, and $20 million in incentives [6] Hyperliquid's Market Position - Hyperliquid averages $57 billion in weekly volume and surpasses NASDAQ's revenue rate [3] - Hyperliquid accounts for 35% of blockchain revenue at times [3] - Hyperliquid is considered the world's most profitable company by revenue per employee as of August [3] Industry Impact - USDH's entry has spurred other ecosystems to consider native stablecoins to retain yield [9] - The success of USDH could extend Hyperliquid's track record and demonstrate crypto's potential [10]

💡#BitMartBite: The Stablecoin Wars are back!Hyperliquid is preparing to launch its new stablecoin USDH, with multiple issuers (like Paxos & Frax) submitting proposals. The final choice will be decided by validator votes.Why issue its own stablecoin?👉 Capture seigniorage revenue👉 Strengthen ecosystem independence👉 Reduce reliance on USDT/USDC👉 Build stronger governance & brand influenceMore in the next thread 👇 ...

Core Insights - Arthur Hayes, co-founder of crypto investment fund Maelstrom, has made significant purchases of Ethena's ENA token, totaling approximately $995,000 within a 48-hour period, as the project competes for control of the USDH stablecoin ticker [1][2] Group 1: Ethena's Positioning - Ethena is a contender in the USDH stablecoin race, with its proposal backed by BlackRock, aiming to use its USDtb stablecoin to collateralize USDH [2] - Ethena has processed $23 billion in cumulative mints and redemptions without security incidents or downtime, indicating a robust operational history [3] Group 2: Market Dynamics - The Hyperliquid validators are set to make a decisive vote on the USDH ticker, with Hayes' purchases seen as personal positioning rather than a direct endorsement of Ethena for the USDH votes [4] - Other contenders in the USDH race include Paxos, which has revised its proposal to pledge a larger share of reserve yield to Hyperliquid's Assistance Fund, and Native Markets, which is currently viewed as a top contender with 90% odds in its favor [5][6]

native markets leads usdh vote 6-2 with zero infrastructure built. paxos offers $20m incentives and paypal integration, sitting at 18% odds on polymarket. validators voting for anonymous team over circle who already earns $190m from hyperliquid. ...

🚀 Don’t Miss Out! Share a $300,000 Reward with @JupiterExchange @global_dollar @Paxos!💰 Supply at least 50 USDG into the Simple Yield Jupiter USDG Pool and get your share of $300,000 in USDG rewards via #BinanceWallet.Check it out now! ⤵️https://t.co/VtMxZFqSX2 https://t.co/FV1lUP7iup ...

Core Insights - A historic auction for the issuance rights of the stablecoin USDH is reshaping the power dynamics in the cryptocurrency market, with significant annual revenue potential of up to $220 million [1][4] - The competition involves ten major institutions, each presenting distinct proposals that reflect different future development paths for stablecoins [3][7] Group 1: Auction Details - Hyperliquid's auction for USDH issuance rights is unprecedented in the history of stablecoins, with the platform's monthly trading volume nearing $400 billion and generating $106 million in fees in August, capturing about 70% of the decentralized perpetual market [4] - The auction has attracted notable participants including Ethena Labs, Paxos, Frax Finance, and others, with the winning entity expected to control issuance rights potentially worth billions [4][11] Group 2: Proposals and Strategies - Ethena Labs promises to return 95% of reserve earnings to the community, while Paxos emphasizes its regulatory compliance and infrastructure advantages [3][8] - Frax Finance proposes a zero-fee model, aiming to link USDH with frxUSD at a 1:1 ratio and return 100% of underlying treasury yields to Hyperliquid users [9] - Sky Ecosystem offers a multi-collateral approach, providing $2.2 billion in USDC liquidity and proposing a 4.85% yield on USDH, with all profits directed to a buyback fund [10] Group 3: Market Implications - The auction signifies a profound shift in the stablecoin market's power structure, moving from traditional issuers like Circle and Tether to a more competitive landscape where DeFi protocols can demand revenue sharing and customized services [11][12] - The outcome of this competition will influence the governance models of stablecoins, determining whether regulatory compliance or decentralized innovation prevails [11][12]

Listing & Partnership - Kraken offered to list Paxos-issued USDH stablecoin [1] - Kraken offered free USD on/off ramps including $HYPE token from Day 1 [1] - Listing is pending approval through Kraken's standard listing review process [1]

YIKES.CL207 says Hypurrrscan (15% of voting power) will not vote for Paxos.CL (@CL207):theres some info asymmetry going on regarding the usdh situation(my following tweets is not a statement from hypurrscan just me) ...

RT Paxos (@Paxos)Making it easier for anyone to access @HyperliquidX.@krakenfx has agreed to list Paxos-issued USDH (w/ free USD on/off ramps) + HYPE from day 1.Issuance gets you a stablecoin. Distribution gets you adoption.*Pending approval following Kraken’s standard listing diligence process ...