PANews reported on September 9th that Ethena Labs has released a proposal, requesting the community and validators to consider the USDH token identifier. The proposal proposes the launch of a stablecoin centered on the Hyperliquid platform. This stablecoin will leverage the expertise and resources accumulated by Ethena and its partners in the field, with an emphasis on security, community engagement, and regulatory compliance. Ethena has pledged significant financial and human resources to establish USDH as a benchmark, leading stablecoin for Hyperliquid users and developers.

The core terms of the proposal include that USDH will initially be 100% backed by USDtb; Ethena commits to using at least 95% of the net income generated by USDH reserves for the Hyperliquid community; if the Hyperliquid community wishes to revalue trading pairs currently denominated in USDC on core exchanges to USDH, Ethena will bear all transaction costs of migrating USDC to USDH; the Ethena Labs research team will submit a proposal to the Ethena Risk Committee to apply for USDH to be listed as a compliant endorsement asset of USDe, etc.