Headline: Paxos Unveils USDH Stablecoin to Elevate Hyperliquids Institutional Appeal Translation: Paxos Unveils USDH Stablecoin to Elevate Hyperliquids Institutional Appeal

The infrastructure provider for stablecoins Paxos has announced a proposal to launch USDH — the first «stablecoin» in the offerings of the largest decentralized crypto derivatives exchange, Hyperliquid.

According to the statement, USDH will fully comply with the requirements of the GENIUS Act (U.S.) and MiCA (EU). Its backing will consist of high-quality assets, such as treasury bonds.

Paxos plans to allocate 95% of the interest earnings from the coin’s reserves for the repurchase of HYPE, which will then be distributed among users, ecosystem projects, and exchange partners.

The stablecoin will be launched on the HyperEVM and HyperCore networks.

Paxos has prioritized this initiative and has established a new entity named Paxos Labs for its execution. The project structure has already acquired Molecular Labs, an infrastructure provider for Hyperliquid, which supports the primitives LHYPE and WHLP that underpin the ecosystem.

The launch of USDH aims to enhance Hyperliquid’s appeal to institutional investors and major fintech platforms, moving beyond the «crypto enthusiasts’ environment.»

Paxos has noted its role in launching and scaling several regulated stablecoins, including Binance USD and PayPal USD. The company will utilize all its core distribution channels, such as centralized exchanges, custodians, and DeFi protocols, to support USDH, and facilitate its integration with over 70 partners globally.

Paxos’s initiative is expected to gain approval from the Hyperliquid community.

As a reminder, in August, the revenue of the decentralized exchange hit a record $106 million, marking a 23% increase compared to July’s figures.