Hyper Foundation has launched a $10 million grant program for projects affected by the USDH sunset. The plan supports teams leaving USDH or closing linked services. Builders must complete migration or planned orderly shutdown work before the end of July.
The initiative aims to reduce transition costs across the Hyper ecosystem. It also seeks to protect service continuity for users and applications during the stablecoin retirement. Eligible teams have been contacted as the network follows a managed process.
Also Read: India and Seychelles Strengthen Strategic Ties With UPI and Security Deal
Migration Grants Support USDH Replacement With USDC
Hyper Foundation stated that such support is available for builders who have built products using USDH. Participants include HIP-1 spot deployers, HIP-3 perpetual deployers, HyperEVM protocols, USDH:USDC bridge managers, and Native Markets. Grants are related to transition commitment.
These funds can be split into two types for participants. Migration grants would facilitate replacement of USDH with USDC within supported products. Wind-down grants would help those projects that are shutting down their USDH operations; however, the latter grants will be smaller than comparable migration grants.
Hyper Foundation stated that all recipients are committed to completing their transition or shutdown operations before July ends. Such a deadline would ensure order during this process among different apps. Also, this helps users to migrate assets timely before the end of support.
Grant calculations vary for different types of projects and their exposure. HIP-1 and HIP-3 participants would get grants based on auction deployment costs. For the latter case, HyperEVM protocol grants would be based on USDH total value locked, affected by sunset.
It also provided guidance to the users who are still holding USDH tokens. It advised them to adhere to the directions given by the protocols where the assets are located. Users can switch USDH into USDC using the HyperCore order book.
Hyper Foundation Confirms New USDH Conversion Path
Furthermore, Hyper Foundation has confirmed another USDH to USDC migration route for HyperEVM users. They can switch USDH for USDC via Across Protocol at a 1:1 ratio. The foundation assured no transaction fee for that action.
The organization has appreciated the participation of builders, users, and Native Markets in USDH issuance and migration. It noted that direct collaboration enabled the migration to happen smoothly.
This migration comes after the other action taken by Hyperion DeFi. On June 8, it withdrew about 800,000 HYPE as the result of the termination of USDH-related contracts. That amount was worth roughly $28.7 million at the time.
For Hyperliquid users, the priority will be the conversion of the USDH tokens before the deadline in July. The available options are aimed at assisting in it. HYPE holders can monitor the migration flow as the shifts in positions affect the sentiment of the token.
Also Read: Kraken RLUSD Rewards Offer Up to 3.75% APY, Boosting Stablecoin Utility
