Jupiter Launches JupUSD: A BlackRock-Backed Stablecoin Reshaping Solana's DeFi Ecosystem

Source: CoinTribune Original Title: Crypto: Jupiter launches JupUSD, a stablecoin backed by BlackRock’s fund Original Link: https://www.cointribune.com/en/crypto-jupiter-launches-jupusd-a-stablecoin-backed-by-blackrocks-fund/

Overview

Jupiter, one of the leading DeFi protocols on Solana, has launched JupUSD, a native stablecoin designed to unify liquidity across its ecosystem. The token represents a significant shift in how blockchain protocols approach stablecoin infrastructure.

JupUSD’s Backing Structure

Reserve Composition:

• 90% backed by USDtb (which is itself backed by BlackRock’s BUIDL fund)
• 10% in USDC for immediate liquidity via Meteora

JupUSD is built as an SPL token, Solana’s native standard, enabling seamless integration across Jupiter’s entire product suite—from perpetuals trading to prediction markets, mobile applications, and limit orders.

Security and Transparency

Jupiter emphasizes institutional-grade security measures:

• Institutional custody managed by Porto via Anchorage Digital
• Fully open-source code
• Three independent audits: Offside Labs, Guardian Audits, and Pashov Audit Group

Ethena Labs’ Role

Ethena Labs orchestrates the technical backbone of JupUSD, managing reserve operations, flow management, and asset allocation. They use distinct, publicly traceable on-chain addresses to ensure operational transparency. This approach has been validated through their prior work with USDe and USDtb.

The protocol introduces jlJupUSD through Jupiter Lend, allowing users to deposit JupUSD and earn promotional rewards alongside standard lending yields—a strategy designed to incentivize long-term holding and strengthen ecosystem liquidity.

Strategic Implications

The proliferation of protocol-native stablecoins reflects a broader trend: every major DeFi player now seeks to control its own liquidity infrastructure. MetaMask, Klarna, SoFi, and Hyperliquid are all developing proprietary stablecoins, moving away from dependence on third-party solutions like USDT or USDC.

Jupiter’s migration plan is substantial: 500 million dollars in USDC will gradually transition to JupUSD, notably within the Jupiter Perps pool. Institutions can strike or purchase JupUSD directly via single transactions on Solana, with transaction capacities published in advance.

Market Context

This development occurs as the stablecoin market expands rapidly. The global stablecoin market now exceeds $308 billion in total value. Concurrently, protocol-specific stablecoins are gaining traction as mechanisms for both liquidity control and value distribution within ecosystems.

Key Metrics:

• JupUSD reserves: 90% USDtb-backed, 10% USDC
• USDC migration target: $500 million to JupUSD
• JUP token performance: 18% surge in one week following announcement
• Global stablecoin market: ~$308 billion

The shift toward protocol-native stablecoins signals a maturing DeFi landscape where decentralization and hyper-integration coexist—a defining characteristic of the next era of blockchain finance.