Jupiter has launched its new stablecoin, JupUSD, on Solana in partnership with Ethena Labs. The exchange announced the release on Monday and confirmed that the asset is now active across its full product suite.
Jupiter has designed the stablecoin to facilitate trading, lending, staking, token creation, and prediction markets. Jupiter also revealed that its upcoming mobile application will utilize the asset.
JupUSD is backed by reserves held in a federally chartered bank. Most of that backing comes from tokenized US Treasury bonds supplied through BlackRock.
JupUSD adoption grows in lending and perps
Jupiter stated that this structure aligns the asset with requirements under the GENIUS Act. The exchange added that JupUSD will function as a unit of account across its services.
The stablecoin is already integrated with Jupiter Lend. Deposits of JupUSD convert into a reward-earning version of the token on that platform. Jupiter Perps has also begun a shift of $500 million worth of USDC to JupUSD. The exchange said the transition will unify collateral and streamline market liquidity.
Jupiter confirmed support for limit orders and dollar-cost averaging tools using the stablecoin. JupUSD will also be used as collateral for perpetual trading. The coin will further serve as a settlement asset for prediction markets. These functions are now live for users.
The initial reserve structure places 90% of backing in USDtb. BlackRock’s tokenized USD Institutional Digital Liquidity Fund supports the asset, which Ethena issues. A secondary liquidity pool will operate on Meteora to increase access across decentralized markets.
Ethena has partnerships with other blockchain networks to support the launch of their stablecoins. The company shares the same initiatives with MegaETH and Sui. Jupiter added that the reserve composition can be extended to incorporate additional assets like USDe, the main token of Ethena.
JUP remains volatile amid rising stablecoin demand
At the time of writing, JUP has decreased by 89% of its peak. At press time, the token was trading at $0.2265 after a 5.54% increase in 24 hours.
The introduction of the stablecoin occurs when the market is rapidly expanding. By 2025, the total value of stablecoins rose by over 49% to $317 billion with the GENIUS Act’s legislation.
The supply of Solana stablecoins also increased by approximately 40%, reaching $14 billion. These trends are a reflection of increased activity in regulated digital dollar products.
Jupiter conducted more than $1 trillion of trades in 2025. The exchange processes over half of decentralized Solana trading volume. The platform has been experiencing continued growth despite the challenges associated with its native token.