What happened?
Sky Protocol has entered the bidding war to issue Hyperliquid’s USDH stablecoin, becoming the fifth major platform to do so. In its proposal, Sky offers a yield of 4.85% and promises $25 million in funding for ecosystem development. This is against the backdrop of growing competition and criticism of Stripe’s Bridge proposal.
Who does this affect?
The primary affected parties are cryptocurrency investors and users of the Hyperliquid platform, especially those interested in or using USDH stablecoin. Additionally, the outcome impacts other bidding parties, including frontrunner Stripe and the opposing coalition led by Native Markets and Agora.
Why does this matter?
The decision on who will issue the USDH stablecoin could significantly influence the Hyperliquid market, particularly because of Sky’s promise of a high yield and substantial funding for ecosystem development. This move could determine the future growth and stability of the platform and the trust of its users.