Jupiter, a leading DeFi platform on Solana , has officially announced the launch of its native stablecoin, JupUSD, marking a strategic expansion of the protocol's liquidation infrastructure and stable asset portfolio within the Solana ecosystem. Notably, JupUSD is largely backed by institutional assets, with participation from BlackRock and Ethereum.
90% of the assets are backed by BlackRock's tokenized fund.
According to the announcement, 90% of JupUSD's backing will come from USDtb – a stablecoin issued by Ethena, backed by the BlackRock USD Institutional Digital Liquidity Fund (BUIDL) as a Tokenize asset. The remainder of the backing structure is expected to come from other highly liquidation assets to ensure convertibility and price stability.
This approach makes JupUSD one of the few DeFi stablecoins directly tied to institutional financial products, rather than relying solely on cash or short-term bonds managed by crypto-native entities.
Swap $500 million USDC for JupUSD
Jupiter announced plans to swap approximately $500 million worth of USDC currently held as collateral in Jupiter Perps LP for JupUSD. This move aims to:
- Increase initial liquidation for JupUSD
- Reduce reliance on third-party stablecoins.
- Standardizing payment and collateral units in Jupiter's Derivative products.
This large-scale shift also demonstrates Jupiter's confidence in the underlying structure and stable operation of JupUSD.
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Fully integrated into the Jupiter ecosystem.
Beyond Vai role as a standalone stablecoin, JupUSD will be integrated seamlessly into the Jupiter ecosystem, which includes:
- Lending & borrowing
- Perpetual futures (perps trading)
- Limit orders
- Prediction markets
This implementation makes JupUSD the central currency (unit of account) across all Jupiter products, optimizing the user experience and increasing the efficiency of on-chain Capital utilization.
New signals for the next generation of DeFi stablecoins.
Jupiter's launch of JupUSD, backed by BlackRock and Ethena, reflects a clear market trend: DeFi stablecoins are moving closer to institutional assets and RWA tokenization, rather than remaining purely crypto-based.
