Circle has made a significant next move in its stablecoin strategy, moving USDC into the Hyperliquid ecosystem. The announcement brings the native USDC and CCTP V2 interoperability on HyperEVM, providing traders and developers with the ability to access the most liquid and regulated dollar stablecoin in the world on the HyperEVM.
Direct deposit and CCTP will be made accessible in the next few weeks to HyperCore, and there will be a smooth flow of the digital dollars across Hyperliquid-based applications.
This brings an additional phase in the journey of Circle to build global internet frontier finance and build-up the rapidly growing environment of Hyperliquid.
Circle Becomes a Hyperliquid Stakeholder
Besides the stablecoin release, Circle has also invested in its first HYPE token, and is now officially a direct stakeholder in the Hyperliquid ecosystem. Another factor that must not be overlooked is the fact that the company announced its intention to become a Hyperliquid validator, which indicates that the company is willing to be committed to the governance and functioning of the platform in the long-term.
In order to speed up its adoption, Circle will implement HyperEVM and HIP-3 incentive programs among builders. Use of the SDKs, APIs and liquidity connections of Circle will be opened to developers.
Why USDC Matters in the Crypto Economy
The move to venture into Hyperliquid is based on almost a decade of USDC evolution. USDC has already completed close to 40 trillion onchain transactions since it was launched and passed milestones on overall mint and redemption of over 1 trillion dollars.
Having extensive banking relationships in the US, EU, UK, Singapore, Hong Kong, Brazil, Japan and soon the UAE, USLC is acknowledged as the most reliable and liquid digital dollar.
USDC has primary liquidity with regulated banking partners and secondary liquidity in global exchanges and payments platforms as opposed to new stablecoin projects commonly lacking depth. USDC is today offered in more than 185 countries, providing profound fiat conversion and competitive trade-offs.
On Binance, as an example, BTC/USDC pairs can be traded at 0.2bps on spot and 0.1bps on perpetual futures, which compete the hegemony of USDT.
To Hyperliquid users, this is equivalent to increased capital efficiency, enhanced onchain settlement and more profound liquidity in trading pairs.
Building Interoperability Through CCTP
The multi-chain interoperability protocols also make USDC reachable. The Cross-Chain Transfer Protocol (CCTP) provides users with an opportunity to transfer USDC across blockchains without risks involved with wrapped assets.
Through the introduction of CCTP V2 to HyperEVM, stablecoins can be moved across major blockchains and protocols without any disruptions to Hyperliquid traders and developers.
Circle compares this interoperability to the process of platforms such as Netflix and Spotify making content available everywhere. This is aimed at ensuring that digital dollars can play anywhere and be transparent, secure, and effective.
Long-Term Vision for Hyperliquid
When Circle enters into the Hyperliquid community, it sees that the partnership is just one of the many strategies to make finance entirely onchain. Circle is positioning USDC as the cornerstone of onchain financial markets by investing in HYPE, company involvement with Hyperliquid builders, and liquidity infrastructure.
Circle stressed that the internet financial system is not a zero-sum game. Rather, future is perceived as a platform and ecosystem opportunity, where the creation of shared value leads to network growth.
The collaboration comes as Hyperliquid is still winning over traders and builders at an impressive rate and has proven itself as one of the most creative blockchain ecosystems.
