Hyperliquid activated its AQAv2 framework for USDC on August 26, giving the protocol another potential source of revenue that can support HYPE purchases.
Under the new system, around 90% of the cost-adjusted yield earned from USDC reserves held for Hyperliquid will be shared with the protocol. The revenue will build up over 30-day periods before being automatically sent to the Assistance Fund eight days after each period ends.
Because of an initial grace period, the first payment is expected on October 3 rather than immediately after the framework was activated.
AQAv2 expands Hyperliquid’s system to stablecoins that are also used outside the network. The goal is to allow the protocol to benefit from the income generated by reserves supporting USDC on Hyperliquid.
Coinbase will serve as the treasury deployer for USDC, while Circle will handle the technical side, including minting, redemption and cross-chain transfers. Both companies deposited 500,000 HYPE as part of the framework.
The system also automatically manages USDC balances between a linked HyperEVM contract and Coinbase’s designated treasury address. About 90% of the funds are kept at the treasury address, while the remaining 10% stays in the linked contract to help maintain liquidity.
The 90% reserve split is separate from the revenue-sharing arrangement. The amount eventually paid to Hyperliquid will depend on factors such as the amount of USDC on the network, reserve yields and related costs.
Some market estimates have suggested the system could generate more than $100 million in annual revenue, but Hyperliquid has not provided an official fixed revenue forecast.
The income will flow into Hyperliquid’s Assistance Fund, which already receives much of the protocol’s trading revenue. The fund uses its income to buy HYPE on the open market.
However, buying HYPE and burning HYPE are two different actions. Tokens purchased by the fund are not automatically removed from supply unless a separate approved burn takes place.
The first payment on October 3 will give the market its first clear look at how much revenue AQAv2 is actually generating. Future payments will depend largely on USDC usage on Hyperliquid, reserve yields and operating costs.
HYPE was trading around $82 following the activation, although there is no confirmed evidence that AQAv2 alone caused the token’s recent price movement.
