Jupiter to Launch Solana-Based Stablecoin JupUSD in Q4 2025

Jupiter Teams Up with Ethena Labs to Introduce JupUSD Stablecoin

Jupiter, the leading DeFi aggregator on Solana, is collaborating with Ethena Labs to launch its own native stablecoin, JupUSD, scheduled for release in the fourth quarter of 2025. Unlike a side feature, JupUSD is set to become a fundamental part of Jupiter’s platform ecosystem, fully integrated across trading, lending, and perpetual futures markets.

Backed by Trusted Collateral for Stability

At launch, JupUSD will be 100% collateralized by USDtb, an Ethena Labs stablecoin backed by short-term U.S. Treasuries and tokenized assets like BlackRock’s USD Institutional Digital Liquidity Fund. This initial collateral offers a transparent, traditional financial foundation. Over time, Jupiter plans to integrate Ethena’s USDe, a synthetic dollar designed to optimize yields, to add flexibility and performance enhancements to JupUSD.

Built as the Core Currency of Jupiter’s DeFi Ecosystem

JupUSD is engineered to serve as more than just a stablecoin for simple transfers; it will act as the base currency underpinning Jupiter’s entire liquidity network. It will be used as collateral on Jupiter Perps, liquidity in lending pools, and a core trading pair on Jupiter’s swap interfaces. The goal is to reduce dependence on external stablecoins and maintain liquidity and fees within the Jupiter ecosystem.

Technical and Security Readiness

The launch involves deploying smart contracts on Solana, undergoing multiple security audits, and continuous monitoring of peg stability, especially after adding more complex collateral like USDe. Jupiter aims to provide a reliable and secure stablecoin that inspires confidence among traders and liquidity providers.

Potential Impact on Solana’s DeFi Landscape

If successful, JupUSD could replace around $750 million of stablecoins currently used within Jupiter’s liquidity pools, reshaping Solana’s DeFi stablecoin market. This move adds strategic importance to Ethena Labs’ role, as their infrastructure supports not only JupUSD but several other sizable, branded stablecoins on various chains.

For readers interested in Solana’s broader market outlook, potential price targets, and what could drive its growth through 2028, explore this in-depth analysis of Solana’s price forecast and future roadmap: Can Solana Reach $500? Targets for 2025-2028.

Disclaimer

This article is for informational purposes only and is not financial advice. Investing in cryptocurrencies and DeFi projects carries significant risks. Always perform your own research and consult a qualified financial advisor before making investment decisions.