Jupiter Introduces JupUSD Stablecoin in Partnership With Ethena

• Jupiter introduces JupUSD, a reserve-backed stablecoin pegged to the US dollar.
• Most reserves are held in USDtb, backed by BlackRock’s BUIDL fund.
• JupUSD is secured with institutional custody and multiple independent audits.

Crypto trading platform Jupiter has launched JupUSD, a new reserve-backed stablecoin pegged to the U.S. dollar, as it looks to expand its role in onchain finance. The stablecoin was developed in collaboration with Ethena Labs and is designed to act as a core settlement asset across Jupiter’s products.

Backed by Tokenized U.S. Dollar Assets

Jupiter said around 90% of JupUSD reserves will be held in USDtb, a licensed stablecoin backed by tokenized U.S. Treasury assets. USDtb is collateralized through BlackRock’s BUIDL fund, with issuance handled by Securitize.

The remaining 10% of reserves will be held in USDC to provide liquidity support. A secondary liquidity pool has also been set up on Meteora.

Over time, Jupiter plans to shift part of the reserves to USDe, another Ethena-issued stablecoin, to improve flexibility and efficiency within its ecosystem.

Focus on Security and Institutional Custody

Jupiter added that JupUSD was built with a “security-first” approach. Custody of reserves will be handled by Anchorage Digital, using institutional-grade self-custody infrastructure.

The stablecoin has also been reviewed by multiple independent audit firms, including Offside Labs, Guardian Audits, and Pashov Audit Group.

Deep Integration Across Jupiter Products

While JupUSD does not offer yield on its own, Jupiter said its value comes from deep integration across the platform.

Users can deposit JupUSD into Jupiter Lend’s Earn Vaults and receive jlJupUSD, which offers promotional rewards on top of standard lending returns. JupUSD can also be used as collateral for perpetual futures trading, prediction market settlements, limit orders, dollar-cost averaging tools, and Jupiter’s mobile app.

Boost for Ethena’s Stablecoin Strategy

Ethena said the launch could unlock more than $500 million in potential stablecoin supply, particularly by replacing USDC currently used within Jupiter’s liquidity pools.

The company said JupUSD shows how crypto platforms can gain more control over costs, efficiency, and user incentives by issuing and integrating their own stablecoins.

Jupiter described JupUSD as a step toward a unified dollar balance across all of its services, positioning the token as a central building block for its next phase of growth in onchain finance.

Related: Japan’s Bond Yields Hit 27-Year High: Are Stablecoins Stepping In?