Coinbase has grown its presence in the fast-growing decentralized trading market after becoming Hyperliquid’s official treasury deployer for USDC, marking a major transition in the platform’s stablecoin strategy.
Today we’re expanding our support for @HyperliquidX by becoming the platform’s official treasury deployer of USDC.
Onchain markets operate 24/7 and require collateral that is always available, instantly transferable, and deeply liquid – USDC delivers exactly that.
Alongside… pic.twitter.com/ki7QmSJVdH
— Coinbase 🛡️ (@coinbase) May 14, 2026
Coinbase details of the USDH phase-out
The move will gradually phase out USDH, a stablecoin introduced by Native Markets through Hyperliquid’s aligned quote asset (AQA) framework in 2025. As part of the transition, Native Markets has granted Coinbase the right to acquire USDH brand assets.
Hyperliquid users will still be able to redeem USDH for USDC or fiat currency, fee-free, through Native Markets’ USDH Dashboard during the migration period.
Coinbase said USDC has already established itself as the dominant stablecoin on Hyperliquid since the platform launched in 2023. The exchange added that the partnership strengthens USDC’s role within the ecosystem and expands its integration across onchain trading infrastructure.
Hyperliquid pushes deeper into onchain trading Dominance
The development comes as Hyperliquid continues to gain ground in the crypto derivatives market. Since launching its Layer 1 blockchain and perpetual trading platform in late 2024, the network has rapidly become one of the largest players in decentralized trading.
Data from DefiLlama shows Hyperliquid currently leads the market in blockchain fee generation, capturing nearly 40% of total market share ahead of major networks including Ethereum, Solana, and Tron.
Most of the platform’s revenue comes from perpetual futures trading, where traders pay fees to open and manage leveraged positions.
The rise in trading activity has also increased demand for stablecoin liquidity, making USDC’s deeper integration a strategic move for the ecosystem.
USDH transition and growing institutional interest
Native Markets confirmed that USDH remains fully backed and operational throughout the transition. The company said it is working with HIP-3 and HIP-1 deployers to complete the migration to USDC before USDH is officially sunsetted.
The stablecoin restructuring follows broader institutional interest in Hyperliquid. Earlier this week, asset manager 21Shares launched the first exchange-traded fund tied to Hyperliquid’s native token, HYPE, further highlighting growing market confidence in the platform’s expanding role within decentralized finance.
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