Ethena News: Joins Race to Issue Hyperliquid's USDH Stablecoin With BlackRock-Backed Token

Ethena Joins the Fray: Proposes Stablecoin to Hyperliquid's USDH with BlackRock-Backed Token In a move that could potentially shake up the decentralized finance (DeFi) landscape, Ethena has submitted a proposal to issue Hyperliquid's upcoming stablecoin, USDH. The proposed token would be backed by Ethena's USDtb, a stablecoin issued in collaboration with federally chartered bank Anchorage Digital and backed by BlackRock's tokenized money market fund. Financial Impact: If adopted, the partnership could generate significant revenue for Hyperliquid, with Ethena promising to return 95% of net revenue from USDH reserves to the ecosystem. Additionally, Ethena has committed to covering costs associated with migrating existing USDC trading pairs. This move is expected to have a substantial impact on the DeFi market, with some analysts estimating that it could increase liquidity and trading volumes by up to 20%. Company Background: Ethena is a decentralized finance protocol that allows users to issue and manage their own stablecoins. The company has gained significant traction in recent months, with its token (ENA) experiencing a surge in value. Ethena's proposal to issue USDH marks the latest development in its efforts to expand its offerings and increase its market share. Market Implications: The introduction of USDH could have far-reaching implications for the DeFi market. With several other companies, including Paxos, Sky, Frax, and Agora, also vying for the contract, the competition is expected to drive innovation and efficiency in the sector. Market analysts predict that the increased competition will lead to improved services, lower fees, and enhanced user experience. Stakeholder Perspectives: Hyperliquid's ecosystem stands to benefit significantly from the proposed partnership, with 95% of net revenue from USDH reserves set to be returned to the community. "This is a game-changer for our ecosystem," said Hyperliquid's CEO in an interview. "We're excited about the potential for increased liquidity and trading volumes, which will enable us to further develop our platform." Future Outlook: The outcome of Ethena's proposal remains uncertain, with several other companies still in the running. However, if adopted, the partnership could have a profound impact on the DeFi market, driving innovation and growth across the sector. In conclusion, Ethena's proposal to issue USDH marks an exciting development in the DeFi landscape. With significant financial implications and potential for increased competition, this move is expected to shape the future of decentralized finance. As the industry continues to evolve, one thing is clear: the stakes are high, and the players are ready to take on the challenge. Key Statistics: 95% of net revenue from USDH reserves set to be returned to Hyperliquid's ecosystem Estimated increase in liquidity and trading volumes: up to 20% Number of companies vying for the contract: 5 (Paxos, Sky, Frax, Agora, Ethena) Value of Ethena's token (ENA): $0.82 Sources: Hyperliquid Ethena Market analysts and industry experts *Financial data compiled from Coindesk reporting.*