Uniswap

USDH

USDC

Hyperliquid

Coinbase will take over as the official USDC<a href="https://yellow.com/asset/usdc" rel="noopener noreferrer nofollow">(USDC)</a> treasury deployer on Hyperliquid<a href="https://yellow.com/asset/hype" rel="noopener noreferrer nofollow">(HYPE)</a>, retiring the network's own USDH stablecoin.
<h2 id="coinbase-steps-in-as-aqa-deployer">Coinbase Steps In as AQA Deployer</h2>
The announcement <a href="https://www.coinbase.com/en-gb/blog/coinbase-and-hyperliquid-aligning-markets-on-hyperliquid-to-usdc" rel="noopener noreferrer nofollow">came</a> Thursday from Coinbase and Native Markets, the team that built USDH less than a year ago.
Under the deal, Coinbase becomes the Aligned Quote Asset deployer for USDC on Hyperliquid, a role designed to channel reserve yield back into the network rather than to outside issuers.
Native Markets has agreed to terms giving Coinbase the right to purchase USDH brand assets, while the startup itself stays independent.
USDC supply on Hyperliquid sits near $5 billion, roughly double its level a year ago, according to figures Coinbase shared alongside the announcement.
Also Read:<a href="https://yellow.com/news/ripple-cto-bitcoin-miner-incentives-flaw-xrp" rel="noopener noreferrer nofollow">Ripple's Schwartz Says Bitcoin's Mining Model Is The Flaw XRP Avoided</a>
<h2 id="usdh-sunset-and-user-migration">USDH Sunset and User Migration</h2>
USDH markets are still fully functional, and the stablecoin remains fully backed by cash and short-dated U.S. Treasury equivalents during the wind-down. Users can keep <a href="https://www.theblock.co/post/401233/coinbase-hyperliquid-official-deployer-usdc" rel="noopener noreferrer nofollow">redeeming</a> USDH for USDC or fiat without fees through the official Native Markets dashboard.
Native Markets said it will work with HIP-1 and HIP-3 deployers to complete the migration before USDH is fully sunset.
CEO Mary-Catherine Lader, a former Uniswap Labs president, framed the agreement as proof that stablecoins should return value to the networks they serve, not extract it.
<h2 id="stablecoin-economics-on-a-faster-chain">Stablecoin Economics on a Faster Chain</h2>
For Hyperliquid, the move concentrates trading liquidity in one asset on a chain that, per The Block, <a href="https://www.theblock.co/post/401233/coinbase-hyperliquid-official-deployer-usdc" rel="noopener noreferrer nofollow">captures</a> roughly 40% of all blockchain fees, ahead of <a href="https://yellow.com/asset/eth" rel="noopener noreferrer nofollow">Ethereum</a>, <a href="https://yellow.com/asset/sol" rel="noopener noreferrer nofollow">Solana</a>, and <a href="https://yellow.com/asset/trx" rel="noopener noreferrer nofollow">Tron</a>. The partnership also extends Coinbase's push to broaden USDC use beyond centralized exchanges as stablecoin competition tightens.
Analysts say the structure could pressure rival issuers to share more reserve yield with the venues hosting their tokens.
Hyperliquid launched in November 2024 and quickly became the dominant onchain perpetual futures platform. Earlier this week, 21Shares debuted the first U.S. <a href="https://yellow.com/news/grayscale-hype-etf-staking-yield" rel="noopener noreferrer nofollow">spot ETF tied to HYPE</a>, an event Bloomberg's James Seyffart described as a solid but not explosive opening for an altcoin product.
Read Next:<a href="https://yellow.com/news/coinbase-100k-usdc-loans-solana" rel="noopener noreferrer nofollow">Coinbase Opens $100K USDC Loans Against Solana Token Holdings</a>

Coinbase Takes On $5B USDC Treasury Role As Hyperliquid's USDH Winds Down

Table of Contents

Yellow News

Other articles published on May 14, 2026

Join our free newsletter for daily crypto updates!