Hyperliquidโs USDC Deal Shakes Up Stablecoin Profits ๐ธ๐
Revenue Shift to Hyperliquid ๐
โก๏ธ Hyperliquid made USDC its Aligned Quote Asset with Coinbase and Circle.
โก๏ธ The protocol now captures up to 90% of reserve income from USDC deposits โ revenue that previously went mostly to Circle and Coinbase.
Big Money for HYPE Buybacks ๐ฅ
โก๏ธ Analysts estimate the deal could channel $135Mโ$160M annually to Hyperliquid for buybacks, based on โผ$5B in USDC on the platform.
โก๏ธ If deposits grow, yield-sharing alone could add $300Mโ$500M in annual revenue.
โก๏ธ HYPE is up nearly 10% in a week despite broader market weakness.
Squeeze on Circle & Coinbase โ ๏ธ
โก๏ธ Compass Point says the arrangement could cut $60Mโ$80M from Circle and Coinbaseโs combined annual EBITDA.
โก๏ธ At cunue Shift to Hyperliquid ๐
โก๏ธ Hyperliquid made USDC its Aligned Quote Asset with Coinbase and Circle.
โก๏ธ The protocol now captures up to 90% of reserve income from USDC deposits โ revenue that previously went mostly to Circle and Coinbarrent rates, the $5.1B USDC supply generates โผ$180M gross profit for them โ now largely redirected to Hyperliquid.
Domino Effect Risk ๏ฟฝ domino
โก๏ธ Analysts warn other DeFi protocols like Polymarket and Jupiter may demand similar yield-sharing deals.
โก๏ธ It also signals consolidation around dominant stablecoins like USDC, with fewer standalone alternatives like USDH gaining traction.
Bottom Line ๐ฏ
โHyperliquid flipped the script: stablecoin yield now flows to the exchange, boosting HYPE and pressuring Circle/Coinbase margins. Other DeFi platforms may follow suit.
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#Hyperliquid #Stablecoins #CryptoNews #TokenBuybacks #DeFiRevenue $HYPE