Ethena to Release New UStb Stablecoin Backed by Blackrock’s Fund on Ethereum

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Veronika Rinecker is based in Germany, studied international journalism and media management. She specializes in politics and regulation, energy, blockchain, and fintech. Since 2017, she has been...

Ethena Labs, the developer of the Ethereum-based synthetic dollar protocol, has announced the launch of UStb, a new fiat stablecoin. Backed by the BlackRock USD Institutional Digital Liquidity Fund (BUILD) and in partnership with Securitize Markets LLC, UStb offers a distinct alternative to the existing USDe stablecoin.

BUILD, BlackRock’s first tokenized fund launched in March 2024 on a public blockchain Ethereum, allows investors to earn interest in U.S. dollars through Securitize Markets LLC. Securitize Markets LLC specializes in tokenizing real-world assets (RWA), providing investors with the opportunity to access tokenized digital assets through innovative blockchain technology projects.

BUILD invests in U.S. Treasury bills, notes and other obligations and has rapidly grown to become the largest tokenized U.S. Treasury fund, currently accumulating over $522 million in assets under management (AUM).

UStb will be fully collateralized by BlackRock’s BUILD and Securitize, ensuring its stability and reliability. Functioning similarly to a traditional stablecoin, UStb will provide users and exchange partners with a familiar and secure asset.

We are excited to announce Ethena's newest product offering: UStb

UStb will be fully backed by @Blackrock BUIDL in partnership with @Securitize, enabling a separate fiat stablecoin product alongside USDe

Details below on why this is important: pic.twitter.com/jOIoMef7W3

— Ethena Labs (@ethena_labs) September 26, 2024

As a separate product from USDe, UStb offers a differentiated risk profile. This