Key Takeaways:
STBL launched USST, an institutional-grade stablecoin backed by real-world assets, on the Stellar network July 1, expanding the blockchain's footprint in the tokenized asset market.
The launch comes through a partnership between STBL and the Stellar Development Foundation, with USST built on STBL's Stablecoin 2.0 framework. The coin is designed to give institutional investors on-chain access to liquidity pools backed by trade receivables, supply-chain invoices, and other asset-based corporate finance exposures.
"USST represents a new standard for institutional stablecoins by combining real-world asset backing with the speed and low cost of the Stellar network," a spokesperson for STBL said. "This is about bringing traditional finance liquidity on-chain without compromising on compliance or transparency."
Stablecoins backed by real-world assets have drawn growing interest from traditional finance firms. Visa's stablecoin settlement operations have reached an annualized run rate of $4.6 billion globally, and the payments giant now powers more than 130 stablecoin-linked card programs across 50 countries, according to the company. Broadridge's Distributed Ledger Repo platform, which tokenizes real-world assets, processes $365 billion in daily volume.
The Stellar network, known for its focus on cross-border payments and asset tokenization, has positioned itself as a settlement layer for regulated financial institutions. USST joins a growing roster of stablecoins and tokenized assets on the chain, including those issued by Circle and other partners.
Why stablecoin issuers are chasing real-world assets
The shift toward asset-backed stablecoins reflects a structural change in how issuers compete. Tether, the largest stablecoin issuer, earned more than $10 billion in 2025 almost entirely from interest on its reserve holdings, according to public disclosures. Circle, the second-largest, generates revenue the same way but shares roughly half with Coinbase for distribution.
Newer entrants like STBL are differentiating by tying their tokens directly to short-duration trade assets rather than Treasury bills alone. The model allows the stablecoin to maintain its peg while offering institutional holders exposure to yields from real-economy credit — a structure that has gained traction as the GENIUS Act and other regulatory frameworks clarify what stablecoin issuers can and cannot do with reserve earnings.
Midas and Fasanara Capital recently launched mGLOBAL, a tokenized private credit product, on Aave's Horizon RWA Market with $40 million in total value locked, signaling that institutional demand for on-chain RWA exposure continues to grow.
What USST means for Stellar and the broader market
For Stellar, the USST launch strengthens its position as a network for regulated stablecoin issuance. The chain already supports multiple fiat-backed tokens and has built compliance tools designed to meet anti-money laundering and sanctions requirements.
The broader implication is that stablecoin issuance is fragmenting away from the two dominant players. While Tether and Circle still control the vast majority of the $230 billion stablecoin market, a wave of institutional-grade, RWA-backed tokens from issuers like STBL is creating new competition. Whether USST can attract meaningful volume will depend on how quickly institutions move their trade finance and supply-chain operations on-chain — a transition that remains in its early stages.
This article is for informational purposes only and does not constitute investment advice.
