Ethena Labs has released a proposal, requesting the community and validator groups to consider the USDH token identifier. The proposal proposes the launch of a stablecoin based 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 committed to investing significant financial and human resources to establish USDH as a benchmark, leading stablecoin for Hyperliquid users and developers. Key terms of the proposal include: USDH will initially be 100% backed by USDtb; Ethena pledges to contribute at least 95% of net revenue generated by the USDH reserve to the Hyperliquid community; if the Hyperliquid community wishes to rebase trading pairs currently denominated in USDC on core exchanges to USDH, Ethena will cover all USDC-to-USDH transaction costs; and the Ethena Labs research team will submit a proposal to the Ethena Risk Committee requesting that USDH be listed as a compliant backing asset for USDe.