The new token will eventually replace $750 million worth of stablecoins in Jupiter\u2019s liquidity pool.<\/p>\n
Ethena Labs<\/a> has partnered with Jupiter \u2013 the top decentralized exchange (DEX) aggregator on the Solana blockchain with a total value locked (TVL) of $3.58 billion \u2013 to launch JupUSD, a new stablecoin built on Solana, the company said Wednesday.<\/p>\n According to Ethena, JupUSD was developed using its \u201cStablecoin-as-a-Service\u201d platform and will be used across all major parts of the Jupiter ecosystem. That includes Jupiter Perps, where about $750 million in stablecoins in the platform\u2019s JLP pool will gradually be replaced by JupUSD, and Jupiter Lend, where it will act as the main lending asset, Ethena said<\/a> on X. <\/p>\n The stablecoin is still in development and is expected to launch in the coming months. At first, it will be backed by USDtb, Ethena\u2019s synthetic stablecoin, which is currently the ninth-largest in circulation with a market capitalization of $1.8 billion, according to DeFiLlama.<\/p>\n However, Ethena revealed that over time, the collateral backing may expand to include USDe, its synthetic dollar. USDe<\/a> currently has a market capitalization of over $15 billion, up 130% from $5.7 billion in June, making it the third-largest circulating stablecoin, according to DeFiLlama data. <\/p>\n The partnership not only underscores Ethena\u2019s continued expansion beyond Ethereum, where USDe is built, but also strengthens Solana\u2019s growing decentralized finance (DeFi) ecosystem, which has recorded rising stablecoin activity this year. <\/p>\n Currently, the broader stablecoin sector boasts a market capitalization of nearly $304 billion, up $5 billion over the past week alone. Of that amount, $15 billion is on Solana, up 2% over the past week. <\/p>\n JupUSD is the latest stablecoin to emerge from Ethena\u2019s Stablecoin-as-a-Service product line, which lets projects issue their own stablecoins. Last month, MegaETH Labs, the team behind the MegaETH blockchain, introduced MegaUSD (USDm)<\/a>, a native stablecoin it built in partnership with Ethena Labs. <\/p>\n The news follows a series of partnerships between Ethena and other DeFi platforms this year. In May, Ethena expanded to the TON blockchain, where it deployed USDe and sUSDe. The integration, which makes sUSDe available as tsUSDe within Telegram\u2019s in-app wallets, gave around one billion users access to stablecoin yield.<\/p>\n