Jupiter, a Solana-based DeFi protocol and trading platform, has introduced JupUSD, a dollar-pegged stablecoin issued natively on Solana.
The project was developed in partnership with Ethena Labs and is designed for deep integration across Jupiter’s ecosystem.
In a post on X, Jupiter said 90% of JupUSD reserves will initially be held in USDtb.
USDtb is a licensed stablecoin collateralized by shares of BlackRock’s tokenized money-market fund, BUIDL.
The remaining 10% of reserves will be held in USDC to provide a liquidity buffer.
Onchain structure and custody
JupUSD is issued as an SPL token, Solana’s standard token format, allowing broad compatibility with Solana-based applications.
Jupiter said the reserves are custodied by Porto through Anchorage Digital.
Reserve balances are verifiable onchain, adding a transparency layer for users and counterparties.
A secondary liquidity pool has also been established on Meteora to support market depth.
Yield-bearing features and platform integration
Within Jupiter’s lending product, deposits of JupUSD mint a yield-bearing version of the token.
This structure allows users to earn returns while still deploying the asset in other features.
Jupiter said the token can be used for tools such as limit orders and dollar-cost averaging.
The company also plans to integrate JupUSD into its perpetuals trading platform.
Over time, this will involve transitioning collateral and liquidity pool balances away from USDC.
Institutional access and reserve management
For institutions and market makers, JupUSD supports onchain minting and redemption against USDC.
These transactions settle in a single step on Solana, streamlining capital movement.
Ethena Labs will manage reserve operations, including custody coordination and rebalancing between backing assets.
The firm said it will use segregated onchain addresses and transparent capacity signals.
Rising interest in application-specific stablecoins
Jupiter’s native token, JUP, has risen about 18% over the past seven days, reflecting growing interest in the platform.
The broader stablecoin market remains dominated by established players, but 2025 has seen a shift toward application-specific designs.
Several major platforms have launched stablecoins tailored for use within their own ecosystems.
These tokens are increasingly focused on settlement efficiency, yield generation, and tighter platform integration.
The trend suggests stablecoins are evolving from generic payment tools into specialized infrastructure for digital finance.
