Coinbase dominates Hyperliquid liquidity! Acquires USDH brand assets, making USDC the only official quoted stablecoin.

Hyperliquid stablecoin ecosystem gets a major shakeup! Coinbase announced today that it will become the official USDC treasury deployer (Treasury Deployer) for the Hyperliquid network, and will acquire the asset rights of the native stablecoin brand USDH. As USDH prepares to gradually exit, the USDC, with a scale of 5 billion USD, will fully take over the network’s liquidity. Coinbase emphasized that a unified pricing asset will significantly reduce conversion friction and further connect global on-chain capital markets.
(Background: Coinbase x402 integrates AWS AgentCore—enabling AI agents to autonomously find services, make payments, and complete tasks)
(Additional context: The more Coinbase loses, the more the CEO sells stock! Brian Armstrong sold 1.5 million shares in a year for $550 million)

The underlying liquidity architecture of the decentralized derivatives trading giant Hyperliquid is about to undergo a historic integration.

Today (the 14th), the largest cryptocurrency exchange in the United States, Coinbase, issued an official announcement stating that it will further expand its support for on-chain capital markets. It will officially become the official Treasury Deployer for USDC on the Hyperliquid network, and will use USDC as the network’s benchmark quoted asset (Aligned Quote Asset, AQA).

Acquiring USDH brand rights; native stablecoin gradually phased out

Among the most notable elements of this integration plan is the “unification” move aimed at Hyperliquid’s existing stablecoin ecosystem.

The announcement said that USDH, the native stablecoin previously developed by the Native Markets team to provide Hyperliquid users with an integrated network experience, will come to the end of its historic mission. As part of the transition plan, Native Markets has agreed to license Coinbase the rights to purchase the “USDH” brand assets.

This means that although the USDH market is still operating fully at present, over the next few months USDH will be gradually phased out (Sunset over time). The official emphasized that USDH still has 100% asset backing, and during the transition period, users can seamlessly exchange the USDH they hold for USDC or fiat currency without fees via the Native Markets’ USDH dashboard.

USDC reaches $5 billion; centralized liquidity improves efficiency

Why go to such lengths to shift all liquidity to USDC? Coinbase provided clear business and technical logic in the announcement.

As the 24/7 on-chain capital markets keep expanding, fragmented liquidity often leads to slippage and conversion costs for traders. Coinbase said that concentrating liquidity in USDC—which is always available and can be transferred immediately—can not only greatly improve market efficiency, but also allow capital to flow freely with fewer conversion steps.

• Explosive growth: Since USDC launched on Hyperliquid in 2023, it has seen astonishing growth. The total amount of USDC in the ecosystem is now approximately $5 billion (up 2x year over year).
• Global network effects: Market participants will directly benefit from USDC’s large global deposit and withdrawal network (including Coinbase’s own fiat channels), further consolidating a more cohesive global market.

Coinbase said that since Hyperliquid launched, it has quickly become the dominant player in on-chain trading networks. As a co-founder of USDC and a major issuer partner, Coinbase will continue to invest in supporting developers on HyperEVM. This integration can be considered the deepest stablecoin on-chain integration plan to date, and it also sets an important milestone for USDC to dominate the on-chain derivatives market.