USDh is a stablecoin developed by DeFi protocol Hermetica on the Bitcoin layer-2 Stacks network. Hermetica secured roughly $3 million in liquidity for USDh through a collaboration with Bitcoin lending protocol Zest, which Hermetica says will make USDh the largest stablecoin on Stacks. Hermetica and Zest plan to offer yield on USDh by lending against sBTC, the bitcoin-backed bridging asset used to bring BTC into the Stacks ecosystem. Hermetica said the initial liquidity boost could create a short-term window of higher yields, with projected APYs as high as 50% and a current average APY of 18%. The article notes that the $3 million is small relative to dominant stablecoins like USDT and USDC, highlighting the relative infancy of Bitcoin DeFi. Stablecoins are framed as integral to the crypto economy and important to Bitcoin's evolution into a network that can support DeFi capabilities.

Total raised

$2M

Funding rounds

1

Latest round

Seed

Latest activity

Oct 2024