Jupiter, a DeFi protocol based on the Solana blockchain, has introduced the JupUSD, its own stablecoin pegged to the US dollar. This initiative, developed in collaboration with Ethena Labs, aims to enhance its offerings within the decentralized finance landscape.
Jupiter disclosed in a recent X post that 90% of JupUSD’s reserves will be secured in USDtb, which is a licensed stablecoin backed by holdings in BUIDL, BlackRock’s tokenized money-market fund. The remaining 10% will be reserved in USDC to provide liquidity, complemented by a secondary pool available on Meteora.
News
Source: Jupiter Exchange
According to information shared with Cointelegraph, JupUSD is issued as an SPL token, following Solana’s token standards, which facilitates its integration into various applications within the Solana ecosystem. The asset’s reserves will be managed by Porto via Anchorage Digital and will be verifiable on-chain.
In Jupiter’s lending ecosystem, deposits of JupUSD will yield a JupUSD token that accumulates returns while being utilized for features like limit orders and dollar-cost averaging. Future plans also include integrating JupUSD into Jupiter’s perpetuals platform, transitioning USDC collateral and liquidity pool balances progressively.
For institutional clients and market makers, JupUSD provides on-chain minting and redemption against USDC, enabling single-transaction settlements on Solana.
Ethena Labs, which oversees the Ethena protocol, will be responsible for managing reserve operations, ensuring the custody coordination and rebalance of backing assets through isolated on-chain addresses and transparent capacity signals, as stated in their announcement.
In an interesting note, Jupiter’s native token, JUP, observed an 18% increase over the previous week, as per CoinGecko’s analysis data.
Related Developments
In an expanding stablecoin market valued at approximately $308 billion, dominated by Tether’s USDt and USDC, 2025 witnessed a surge in application-specific stablecoins tailored for individual platforms and ecosystems.
Recently, MetaMask, developed by Consensys, announced a dollar-linked stablecoin crafted for its wallet and the Linea DeFi environment. Meanwhile, several other initiatives across the financial sector are harnessing stablecoin technology to streamline processes including international payments and collateral management.
