Circle Launches Native USDC and CCTP v2 on Hyperliquid Boosting $1.2B Inflows and 3% HYPE Surge

Circle, a leading stablecoin issuer, has launched native USDC and its updated Cross-Chain Transfer Protocol (CCTP) v2 on Hyperliquid, a decentralized exchange with its own Layer 1 blockchain. This move allows users to transfer native USDC directly between Hyperliquid and other compatible blockchains, enhancing capital efficiency and cross-chain interoperability [1]. The integration eliminates the need for bridged tokens, providing a more secure and streamlined way to transfer value across chains [3].

The announcement has already had a visible impact on Hyperliquid’s market dynamics. Since the integration, the platform’s assets under management (AUM) have grown to $5.5 billion, with $1.2 billion of that attributed to USDC inflows [2]. Additionally, Hyperliquid holds an 83% market share in derivatives trading, indicating strong confidence in its infrastructure and growing adoption in the DeFi space [2]. The platform has also captured 70% of USDC usage on Arbitrum, highlighting its role in scaling high-value trading activity [5].

Hyperliquid’s native token, HYPE, responded positively to the news, surging by 3% in the days following the launch [3]. Analysts attribute this rise to increased institutional and retail interest in the platform, which is emerging as a key player in decentralized derivatives and cross-chain finance [4]. The move aligns with a broader trend of integrating stablecoins directly into Layer 1 blockchains, reducing bridging risks and enhancing liquidity for developers and users alike [3].

Circle’s decision to expand native USDC onto Hyperliquid is also part of a larger strategic shift in the stablecoin ecosystem. The company has previously partnered with FIS to facilitate stablecoin-based payments for traditional financial institutions, supporting U.S. efforts to integrate digital assets into the mainstream financial system [6]. This partnership underscores the growing role of stablecoins in bridging traditional and decentralized finance.

The integration of native USDC on Hyperliquid not only improves transaction efficiency but also strengthens the overall utility of the stablecoin within decentralized ecosystems. As more platforms adopt similar integrations, the broader crypto market is likely to benefit from enhanced liquidity and reduced operational complexity [1].

Source:

[1] Native USDC & CCTP V2 are coming to Hyperliquid – [https://www.circle.com/blog/native-usdc-cctp-v2-are-coming-to-hyperliquid-what-you-need-to-know](https://www.circle.com/blog/native-usdc-cctp-v2-are-coming-to-hyperliquid-what-you-need-to-know)

[2] Circle Expands USDC on Hyperliquid Amid $5.5B AUM – [https://www.ainvest.com/news/circle-expands-usdc-hyperliquid-5-5b-aum-surge-83-derivatives-market-share-2507/](https://www.ainvest.com/news/circle-expands-usdc-hyperliquid-5-5b-aum-surge-83-derivatives-market-share-2507/)

[3] Circle To Launch Native USDC On Hyperliquid, HYPE Surges – [https://coingape.com/circle-to-launch-native-usdc-on-hyperliquid-hype-surges-3/](https://coingape.com/circle-to-launch-native-usdc-on-hyperliquid-hype-surges-3/)

[4] Circle says native USDC and CCTP v2 are coming to – [https://www.coinlive.com/en/news-flash/864060](https://www.coinlive.com/en/news-flash/864060)

[5] Wu Blockchain – [https://x.com/WuBlockchain/status/1950897394188517602](https://x.com/WuBlockchain/status/1950897394188517602)

[6] FIS Circle USDC Partnership Expands Stablecoin Payments – [https://ffnews.com/newsarticle/cryptocurrency/fis-circle-usdc-partnership/](https://ffnews.com/newsarticle/cryptocurrency/fis-circle-usdc-partnership/)