Paxos’ USDH plan brings PayPal/Venmo links, a $20-million fund and yield sharing. Could it turn Hyperliquid into DeFi’s next liquidity hub?
Put simply, too much profit is directed to issuers. In most cases, the yield from reserves flows back to those managing the stablecoin rather than to its users.
When you hold a stablecoin like USDC (USDC) or Tether’s USDt (USDT), the issuer (Circle or Tether) holds real dollars or safe assets (such as US Treasurys, money market funds or cash) to back every token in circulation.
