Ethena Labs has submitted a proposal to operate Hyperliquid’s native USDH stablecoin, outlining a structure that begins with full collateralization in USDtb and a governance-linked security model.
Blackrock, Securitize Ties Featured in Ethena’s USDH Bid for Hyperliquid
The latest bid from Ethena positions USDH as “Hyperliquid-first,” initially backed 100% by USDtb, a stablecoin whose reserves are held in Blackrock’s tokenized money market fund BUIDL via Securitize. On the proposal, Robert Mitchnick, Blackrock’s head of digital assets, said:
“We are excited to enable Ethena’s USDtb, which is 100% backed by BUIDL and uniquely positioned to offer institutional grade cash management as well as onchain liquidity to Hyperliquid users.”
Ethena says the USDH program would direct at least 95% of net revenue from reserves to Hyperliquid’s community through HYPE purchases and other contributions, with specifics subject to validator milestones and future votes. The plan also includes covering USDC-to-USDH migration costs if pairs are redenominated on the core exchange.
Also read: 3-Way Push for USDH: Paxos, Agora, and Frax Pitch Stablecoin Infrastructure to Hyperliquid
Security would be overseen by an elected guardian network drawn from Hyperliquid validators, with authority to freeze, reissue, or resolve incidents involving USDH. Ethena proposes providing back-end operations while distributing key controls to the guardian set, which could include teams such as Layerzero if chosen by the community.
The backing could be revisited later by a separate vote to incorporate USDe or hUSDe, though the proposal seeks approval only for USDtb at launch; any change to reserves would require new community authorization.
Ethena points to its operational history with USDe and USDtb, stating it has processed more than $23 billion in mints and redemptions with no downtime, and notes USDtb’s integration with Blackrock‘s BUIDL and its planned issuance through Anchorage Digital Bank under the GENIUS framework.
In parallel, other bidders have signaled interest in supplying USDH infrastructure, including Paxos, Agora, Frax, Sky, Bastion, and Native Markets. The selection process, run by the Hyperliquid community and validators, centers on capacity, security posture, and economics.
The proposal also sketches broader initiatives tied to Hyperliquid’s HIP-3 markets and potential liquidity support through Ethena-affiliated products, alongside integrations with partners such as Based, Liminal, and Unit. Ethena says these efforts are intended to deepen market liquidity and expand collateral options across the ecosystem.
According to the document, USDtb would be deployed natively on HyperEVM, and Securitize plans to extend tokenization services to the network if the bid succeeds. Anchorage is cited as a likely custodian for on-chain reserves, with public, segregated wallets proposed for transparency.
Also read: Three More Bidders Join Fray for Hyperliquid’s USDH Ticker
Author: Jamie Redman
Source: Bitcoin
Reviewed By: Editorial Team
