Coinbase (COIN) is expanding its presence on Hyperliquid (HYPE), one of the fastest-growing exchange networks for cryptocurrencies, by becoming the official vault deployer of USDC on the blockchain, the company announced Thursday.
The move gives Coinbase a central role in managing USDC liquidity on Hyperliquid through the network’s Aligned Quoted Assets (AQA) framework. The system connects stablecoin liquidity directly into Hyperliquid’s trading infrastructure and shares reserve earnings revenue with the protocol.
As part of the transition, Native Markets, the developer behind Hyperliquid’s native stablecoin USDH, agreed to terms that grant Coinbase the right to purchase USDH-branded assets. USDH will remain convertible to USDC or fiat currency during the migration period, before the product is discontinued over time.
The deal marks another step in Coinbase’s push to expand the use of USDC beyond Ethereum (ETH) and centralized exchanges as competition among stablecoin issuers intensifies.
Hyperliquid has become one of the most talked about projects in crypto this year. This decentralized trading platform has built a loyal following by offering perpetual futures trading with low fees, deep liquidity, and a fast user experience that rivals centralized exchanges.
Trading activity on the network has surged in recent months as traders have shown renewed interest in decentralized finance and turned to on-chain platforms. According to Coinbase, USDC supply on Hyperliquid has roughly doubled year-over-year to around $5 billion.
The network has also become a growing center for speculative trading and token issuance. This growth has made Hyperliquid a bigger player in the discussion of cryptocurrency market structure. The stablecoin serves as the core settlement layer for most cryptocurrency trading activity, ensuring dominant liquidity in the rapidly growing exchange ecosystem and enabling wider adoption of USDC by Coinbase and Circle (CRCL).
Native Markets said Coinbase’s involvement could further strengthen Hyperliquid’s position by bringing one of the largest U.S. cryptocurrency companies directly into the ecosystem.
The arrangement also reflects a broader shift in crypto infrastructure. Exchanges and blockchain networks no longer view stablecoins as separate products but are increasingly integrating them into trading, collateral and treasury systems designed to operate around the clock.
Coinbase said the partnership will help create a more unified global marketplace for on-chain capital markets, where traders can trade between crypto assets and fiat-backed stablecoins without leaving the blockchain-based platform.
