Key Highlights
- Coinbase has become the official USDC treasury deployer on Hyperliquid using the AQAv2 framework.
- The setup could increase Hyperliquid’s annual revenue by up to $200 million, with most of it flowing into HYPE token buybacks.
- HYPE prices reacted positively, surged 8% in 24 hours and up 48% in a month.
Crypto exchange Coinbase announced today that it has become the official company responsible for deploying and managing the USDC treasury wallet on Hyperliquid, a fast-growing decentralized perpetual trading platform.
In an X post on Monday, the exchange said that this was done through the AQAv2 framework, which is activated using two special wallet addresses on the network.
In short, Coinbase is now the key operator handling how USDC funds are managed and moved inside Hyperliquid’s system.
New financial flow system using AQAv2
This activation allows Coinbase to send most of the earnings made from Hyperliquid’s USDC reserves back into the Hyperliquid ecosystem itself. This structure is projected to increase Hyperliquid’s annual revenue by up to $200 million.
In turn, Hyperliquid allocates up to 99% of its protocol revenue into HYPE token buybacks through its Assistance Fund mechanism. This means that if revenue goes up, token buybacks also go up. And when buybacks increase, it can reduce the number of tokens in circulation, which can support the token’s value over time.
Shift to USDC as main stablecoin on Hyperliquid
Coinbase first announced the initiative on May 14, when it said it would become the official USDC treasury deployer. That step set the foundation for what is now being activated with AQAv2.
The framework is designed to make USDC the main stablecoin used for trading and settlement inside Hyperliquid’s markets.
Before this, there were other stablecoin systems involved, including a native stablecoin called USDH created by Native Markets. But with this new setup, USDC is becoming the main asset used for trading, deposits, and collateral in both perpetual and spot markets. This reduces confusion and makes liquidity flow more smoothly across the platform.
The system is further supported by Circle’s Cross-Chain Transfer Protocol (CCTP), which handles technical interoperability for USDC movement across chains. This helps keep everything connected and avoids liquidity being trapped in different places.
Overall, the partnership deepens Coinbase’s involvement in Hyperliquid’s ecosystem while strengthening USDC’s role within the platform. It also creates a closer connection between protocol revenue and HYPE buybacks, linking ecosystem activity more directly to token demand.
HYPE token is up almost 50% in a month
Moreover, the token itself has continued to perform well. As of the time of writing, HYPE is trading around $64.09, according to data from CoinMarketCap. This is from an intraday low near $57.
The token briefly reached a high of $74 on June 4 before retracing. This led to an 11% drop in a week. Nevertheless, HYPE is still up over 49% in a month, with its market value sitting at $16 billion.
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