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USDC Supply on Hyperliquid Surges to $4.9B

USDC Supply on Hyperliquid Surges to $4.9B

Source: theblock.co7/22/2025

The USDC supply on Hyperliquid has seen impressive growth, exceeding $4.9 billion, more than doubling since the year's start. This rise underscores the increasing relevance of decentralized perpetual exchanges, with USDC serving as the main settlement currency for derivatives trading. In July alone, Hyperliquid processed over $150 billion in trading volume. Its volume compared to Binance has reached 11.5%, showcasing Hyperliquid's ascent as a dominant player in the on-chain perpetuals market and signaling significant market share shifts from centralized exchanges to decentralized platforms. The pattern of USDC inflow suggests a transformation in trader behavior. Large on-chain deposits indicate that more sophisticated market participants are choosing to hold their positions and assets directly on decentralized exchanges, moving away from previous trends where users kept smaller balances due to concerns over smart contract risks. Currently, Hyperliquid holds an impressive 83% market share in on-chain perpetuals, firmly establishing its leadership in decentralized derivatives trading. This concentration highlights both Hyperliquid's technical execution strength and the network effects observed when liquidity centralizes in one location. The ongoing growth of USDC on Hyperliquid is indicative of the broader maturation of DeFi infrastructure, as users gain confidence in maintaining substantial amounts on-chain over longer periods. This shift may indicate a fundamental change, wherein decentralized trading venues begin to capture a larger share of crypto derivatives activities that have traditionally been dominated by centralized exchanges.

FAQ

  • What is Hyperliquid?

    Hyperliquid is a decentralized perpetual exchange offering derivatives trading using cryptocurrencies like USDC.

  • Why is USDC important on Hyperliquid?

    USDC is the primary settlement currency for trading on Hyperliquid, enabling secure and efficient transactions.