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STBL Adopts Ondo’s USDY to Back Up to $50 Million in New USST

The tie-up brings tokenized Treasury yield into a compliance-first stablecoin that isolates payments from yield.

Overview

  • STBL confirmed USDY will serve as the primary reserve asset to support up to $50 million of new USST issuance.
  • USDY is a yield-bearing token backed by short-term U.S. Treasuries and bank deposits with a first-priority security interest held by an independent agent.
  • STBL’s dual-token architecture keeps USST non-yielding for payments while a separate YLD instrument carries the yield rights.
  • On-chain controls include dynamic mint-and-burn, adjustable haircuts and fee routing, plus issuer and custodian allowlists for streamlined compliance.
  • The Oct. 10 launch was announced across Dubai, London, and New York, with market watchers noting potential demand effects but little immediate price reaction.