Solana News Today: Jupiter's JupUSD Aims to Cement Solana as DeFi's Liquidity Hub

Jupiter, a leading decentralized exchange (DEX) aggregator on the Solana blockchain, has announced a partnership with Ethena Labs to launch JupUSD, a Solana-native stablecoin. The project, slated for a Q4 2025 launch, aims to integrate JupUSD across Jupiter's ecosystem, including its perpetual futures platform, lending markets, and trading interfacesSolana's Jupiter to Develop JupUSD Stablecoin With Backing From Ethana Labs^[1]. The stablecoin will initially be 100% collateralized by Ethena Labs' USDtb, a stablecoin backed by BlackRock's USD Institutional Digital Liquidity Fund (BUIDL), with plans to incorporate USDe, Ethena's synthetic dollar, to optimize yield and stabilityJupiter to launch JupUSD stablecoin with USDe issuer Ethena^[2]. Jupiter intends to convert approximately $750 million in USDC from its liquidity pools into JupUSD, seeding initial market liquidityEthena Labs, Jupiter Partner to Launch JupUSD Stablecoin on …^[3].

JupUSD's design leverages Ethena's "Stablecoin-as-a-Service" infrastructure, enabling partners to issue branded stablecoins using Ethena's collateral and smart contract frameworks. This model has already been deployed for projects like Sui Network and MegaETHJupiter Partners with Ethena Labs to Launch JupUSD Stablecoin^[4]. By embedding JupUSD into its product suite-such as collateral for Jupiter Perps, a base stablecoin for its mobile app, and a pairing token on Meteora-Jupiter aims to centralize its role in Solana's DeFi ecosystemJupiter to launch JupUSD stablecoin with USDe issuer Ethena^[2]. Ethena founder Guy Young emphasized that the partnership aligns with Solana's growing DeFi adoption and Ethena's ambition to provide institutional-grade stablecoin solutionsJupiter to launch JupUSD stablecoin with USDe issuer Ethena^[2].

The stablecoin's launch follows a broader trend of DeFi protocols issuing self-issued stablecoins to retain liquidity and fee revenue. Similar strategies are seen in projects like Aave's GHO and Curve's crvUSDJupiter launches JupUSD stablecoin with Ethena Labs on Solana^[5]. JupUSD's dual-collateral approach-initially USDtb, with a potential shift to USDe-distinguishes it by combining tokenized real-world assets with delta-hedged synthetic collateral. This structure addresses regulatory and transparency concerns while offering yield optimization through USDe's diversified asset poolEthena Labs, Jupiter Partner to Launch JupUSD Stablecoin on …^[3]. Analysts note that Solana's stablecoin market currently holds just 9.27% of Ethereum's supply, but JupUSD could accelerate its growth if adoption meets expectationsJupiter to launch JupUSD stablecoin with USDe issuer Ethena^[2].

Institutional backing further strengthens Ethena's position. The firm has secured support from Binance Labs, Dragonfly, Fidelity, and Franklin Templeton, among others, with M2 Holdings recently investing $20 million in its ENA governance tokenJupiter to launch JupUSD stablecoin with USDe issuer Ethena^[2]. These partnerships underscore confidence in Ethena's model and its potential to scale stablecoin infrastructure across ecosystems. Jupiter, with $3.58 billion in total value locked (TVL) as of October 2025, is well-positioned to drive JupUSD's adoption within Solana's rapidly expanding DeFi landscapeSolana's Jupiter to Develop JupUSD Stablecoin With Backing From Ethana Labs^[1].

The collaboration reflects broader shifts in stablecoin dynamics. With the total stablecoin market surpassing $300 billion in October 2025Ethena Labs, Jupiter Partner to Launch JupUSD Stablecoin on …^[3], demand for decentralized, transparent solutions is rising. Ethena's USDe, already the largest decentralized stablecoin by supply at $14.95 billionEthena Labs, Jupiter Partner to Launch JupUSD Stablecoin on …^[3], has demonstrated the viability of hybrid collateral models. JupUSD's integration into Jupiter's ecosystem could further cement Solana's role as a liquidity hub, while Ethena's white-label strategy positions it as a foundational layer for next-generation stablecoin infrastructureJupiter to launch JupUSD stablecoin with USDe issuer Ethena^[2].