.env

PRIVATE_KEY = 
INFURA_KEY = 
ETHERSCAN_KEY = 

deploy.js

async function main() {
    const [deployer] = await ethers.getSigners();

    console.log(
        "Deploying contracts with the account:",
        deployer.address
    );

    console.log("Account balance:", (await deployer.getBalance()).toString());

    const Token = await ethers.getContractFactory("Token");
    const token = await upgrades.deployProxy(Token, ["Mock Token", "MT"], { initializer: 'initialize' });

    console.log("Token address:", token.address);
}

main()
.then(() => process.exit(0))
.catch(error => {
    console.error(error);
    process.exit(1);
});

hardhat.config.ts

import 'dotenv/config';
import { HardhatUserConfig } from 'hardhat/config'

import '@nomiclabs/hardhat-ethers'
import '@nomiclabs/hardhat-waffle'
import '@nomiclabs/hardhat-etherscan'
import '@openzeppelin/hardhat-upgrades'
import 'hardhat-typechain'

const privateKey = process.env.PRIVATE_KEY;
const infuraKey = process.env.INFURA_KEY;

const config: HardhatUserConfig = {
    defaultNetwork: 'hardhat',
    // This is a sample solc configuration that specifies which version of solc to use
    solidity: {
        version: '0.6.12',
        settings: {
        optimizer: {
            enabled: true,
            runs: 2000,
        },
        },
    },
    networks: {
        kovan: {
        url: `https://kovan.infura.io/v3/${infuraKey}`,
        accounts: [`0x${privateKey}`],
        gasPrice: 1000000000,
        },
    },
    typechain: {
        outDir: 'types',
        target: 'ethers-v5',
    },
    etherscan: {
        apiKey: process.env.ETHERSCAN_KEY
    },
}

export default config

package.json

{
  "name": "mycontract",
  "version": "1.0.0",
  "main": "index.js",
  "license": "MIT",
  "devDependencies": {
    "@nomiclabs/hardhat-ethers": "^2.0.0",
    "@nomiclabs/hardhat-etherscan": "^2.0.1",
    "@nomiclabs/hardhat-waffle": "^2.0.0",
    "@openzeppelin/contracts-upgradeable": "^3.2.0",
    "@openzeppelin/hardhat-upgrades": "^1.3.1",
    "@typechain/ethers-v5": "^4.0.0",
    "dotenv": "^8.2.0",
    "ethers": "^5.0.20",
    "hardhat": "^2.0.3",
    "hardhat-typechain": "^0.3.3",
    "ts-node": "^9.0.0",
    "typechain": "^4.0.0",
    "typescript": "^4.0.5"
  }
}

Token.sol

pragma solidity 0.6.12;

import "@openzeppelin/contracts-upgradeable/proxy/Initializable.sol";
import "@openzeppelin/contracts-upgradeable/token/ERC20/ERC20Upgradeable.sol";

contract Token is Initializable, ERC20Upgradeable{
    function initialize(
        string memory _name,
        string memory _symbol
    ) public initializer {
        __ERC20_init(_name, _symbol);
    }

    function mint(address account, uint256 amount) public {
        _mint(account, amount);
    }
}