> For the complete documentation index, see [llms.txt](https://docs.valantis.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.valantis.xyz/prime/discounts/strategies/usdc-margin.md).

# Unlock USDC Margin

Use wstHYPE as a standby USDC line without giving up staking yield or your Prime tier.

There are two models for accessing USDC margin against your stHYPE

* EVM Lending Protocols
* HyperCore [Portfolio Margin stHYPE Strategy](/prime/discounts/strategies/portfolio-margin.md)

This section covers EVM Lending Protocols. Both EVM and Portfolio Margin allow accessing more margin against your stHYPE.

* Portfolio Margin is better for active Traders. Less margin, but easier to manage borrowing risk. Borrowing happens on HyperCore.
* HyperEVM Borrowing is better for active stablecoin borrows and active risk management. More margin, but liquidation risk is managed between both HyperEVM and HyperCore.

## HyperEVM USDC Margin

On HyperLend, wstHYPE supports a **59% maximum LTV**, **74% liquidation threshold**, and **15% liquidation penalty** for USDC borrowing.

Illustrative values use HYPE at **$67.78 on July 15, 2026**. Rates and prices change.

Parameters: [HyperLend markets API](https://api.hyperlend.finance/data/markets?chain=hyperEvm), accessed July 15, 2026.

| Tier-sized wstHYPE position | Approx. collateral value | USDC at 40% LTV | USDC at 59% max LTV |
| --------------------------- | -----------------------: | --------------: | ------------------: |
| Wood — 10 HYPE              |                     $678 |            $271 |                $400 |
| Bronze — 100 HYPE           |                    $6.8k |           $2.7k |               $4.0k |
| Silver — 1,000 HYPE         |                   $67.8k |          $27.1k |              $40.0k |
| Gold — 10,000 HYPE          |                  $677.8k |         $271.1k |             $399.9k |
| Platinum — 100,000 HYPE     |                   $6.78M |          $2.71M |              $4.00M |

A lower operating LTV leaves more room for slashing, oracle movement, interest accrual, and parameter changes.

Felix also has Morpho-based markets for borrowing USDC against wstHYPE and for looping, but available liquidity is smaller. HyperLend is the primary venue for the capacity analysis above. Felix CDP feUSD is also a method for accessing stablecoin liquidity against wsthype and maintaining discount.

## How To Unlock USDC via Hyperlend

<figure><img src="https://986147118-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F1hNJeG4CApeBcE2NlR61%2Fuploads%2Fgit-blob-d2c2cc00095fc2446710f6109018503b3a1c9471%2Fimage.png?alt=media" alt=""><figcaption></figcaption></figure>

NOTE: This strategy requires that you disable E-mode on Hyperlend.

## What to do with your extra USDC

Works for both EVM borrowing and Portfolio Margin

* Working USDC margin for active trading. Keep holding spot HYPE, but unlock extra USDC for active trading.
* You want to increase HYPE exposure. Long HYPE using stHYPE as collateral.
* Hedge HYPE price. You need tactical liquidity for a hedge, drawdown, or short-lived trading opportunity.

## Cost and risk

* **Borrow rate:** USDC rates are utilization-driven and can change sharply. Treat this as a line you draw when needed, not automatically as permanent leverage. It requires active switching and movement of funds between HyperEVM and HyperCore to manage risk.
* **Liquidation:** the position can be liquidated below health factor 1. HyperLend's wstHYPE oracle follows redemption value rather than DEX prices, so a sthype market depeg alone does not trigger liquidation; validator, HIP-3 slashing, or stHYPE smart contract risk can reduce collateral value and cause liquidation.
* **Penalty:** liquidation carries the configured 15% penalty.
* **Protocol risk:** the position depends on stHYPE and HyperLend contracts.

Your wstHYPE remains tier-eligible while supplied to supported HyperLend markets.