Hyper Foundation grants $10 million for USDH migration

The Hyper Foundation has allocated approximately $10 million in grants to support developers and protocols affected by the sunsetting of the USDH stablecoin on the Hyperliquid network. The grant program, announced on June 28, aims to facilitate an orderly transition to USDC as the platform's primary stablecoin, with all migration or wind-down work required to be completed by the end of July.

Eligible recipients include deployers of HIP1 spot markets and HIP3 perpetual markets, HyperEVM protocols, USDH-USDC bridge operators, and Native Markets, the original issuer of USDH. The grants are divided into two categories: larger allocations for teams migrating their markets and services to USDC, and smaller grants for those winding down USDH-related operations entirely. Funding for HIP1 and HIP3 projects is based on their original auction deployment costs, while HyperEVM protocol grants are calculated according to the total value of USDH locked that is affected by the change.

The initiative follows a broader strategic shift by Hyperliquid to adopt USDC as its aligned quote asset under a new framework known as AQAv2, which was approved by network validators on June 12. This move...