> ## Content Index > Fetch the complete content index at: https://stablecoininsider.org/llms.txt > Use this file to discover other available public pages before exploring further. # Solstice's USX Surpasses $328M TVL and Becomes Largest Native Solana Stablecoin - URL: https://stablecoininsider.org/solstice-usx-stablecoin/ - Published: 2025-12-31T08:37:32.000Z - Updated: 2025-12-31T08:37:32.000Z - Description: Solstice's USX hits $328M TVL, and overtakes as the largest native Solana stablecoin with Kamino/Ondo integrations and yield strategies. - Author: Alexandra - Tags: Macro, Solstice Finance, USX, Solana, Stablecoins on Solana, Stablecoins, Stablecoin News > **December 31, 2025.** Solstice Finance's [**USX**](https://docs.solstice.finance/solstice-for-users/usx), a yield-bearing synthetic stablecoin native to Solana, has reached over ***$328 million*** in total value locked, establishing it as the largest Solana-native stablecoin by TVL as of year-end 2025\. This milestone follows rapid growth from its September 2025 launch at ***$160 million*** TVL and underscores the maturation of Solana's DeFi ecosystem, driven by institutional-grade yield strategies and key protocol integrations. ### **Key Takeaways** - YieldVault delivers delta-neutral returns via arbitrage and hedging, historically ***14% IRR***. - Integrations with Kamino and Ondo expand lending, fixed-yield, and collateral options. - Brief December depeg resolved swiftly, confirming over-collateralization and primary market stability. - Milestone reflects Solana's growing role in yield-native stablecoin infrastructure. [![Solstice's USX Becomes the Largest Stablecoin on Solana](https://storage.ghost.io/c/73/6a/736af0e4-2274-4543-a329-2952b2b52abc/content/images/2025/12/image-443.png)](https://solstice.finance/) ## **Background on USX and Solstice Finance** [**Solstice Finance**](https://solstice.finance/), backed by Deus X Capital and investors including Galaxy Digital, MEV Capital, and Bitcoin Suisse, launched USX in September 2025 as a permissionless, delta-neutral stablecoin. USX is fully collateralized with fiat-backed assets like USDC and USDT, maintaining a 1:1 peg while providing access to ***YieldVault***, a protocol executing arbitrage and hedged staking strategies for real-time yields. > ***The protocol addresses a key gap:*** Solana hosts over ***5%*** of global [**stablecoin**](https://stablecoininsider.org/) supply but historically lacked a dominant native yield-bearing option. USX holders lock tokens to receive eUSX, sharing in fund returns with a historical net IRR of approximately ***14%*** and no monthly losses in backtested data. > Backed by Chainlink oracles for transparency and third-party attestations, USX prioritizes over-collateralization and insurance funds for risk mitigation. [Stablecoin Newsletter](https://stablecoininsider.org/the-stablecoin-insider-weekly-newsletter/) ## **Growth Trajectory and Recent Milestones** USX launched with ***$160 million*** committed TVL, scaling to over ***$300 million*** by mid-December 2025\. As of December 31, TVL exceeded ***$328 million***, reflecting sustained inflows despite market volatility. This positions USX ahead of other Solana-native stablecoins in TVL, while bridged assets like USDC and USDT dominate overall supply (Solana's total stablecoin market cap neared ***$17 billion*** in late 2025). Growth drivers include: - Delta-neutral yields averaging ***10-14%***, outperforming non-yielding alternatives. - Permissionless access bridging retail and institutional users. - Support from Solana Foundation, highlighting USX's role in retaining on-chain capital. --- ## **Key Integrations Driving Adoption** USX composability has expanded through partnerships: - [**Kamino Finance**](https://kamino.com/): October 2025 integration enables automated liquidity loops, lending/borrowing of USX/eUSX, and leveraged yield strategies. > Kamino users access fixed-yield products like PT-USX (principal tokens) at up to ***16.5% APY*** via Exponent Finance. - [**Ondo Finance**](https://ondo.finance/): December 2025 addition of OUSG (tokenized U.S. Treasuries) as collateral strengthens backing with short-term government instruments, enhancing liquidity and daily yield accruals. - ***Additional ties:*** Raydium and Orca for DEX liquidity, boosting trading depth. These integrations distribute USX across lending markets, DEXs, and fixed-income products, increasing utility and TVL retention. --- ## **Challenges and Resilience: The December Depeg Event** On ***December 26, 2025***, USX briefly depegged to ***$0.10*** on secondary markets due to holiday-thin liquidity on Solana DEXs like Orca and Raydium. The event was isolated to trading venues; primary mint/redemption remained operational at $1, with reserves over ***100%*** collateralized. Solstice injected liquidity alongside market makers, restoring the peg to ***$0.99-1.00*** within hours. TVL dipped minimally (***under 3%***), with third-party attestations confirming solvency. The incident highlighted secondary market risks but demonstrated protocol response and underlying stability. > Post-event, Solstice announced deeper liquidity provisions and collateral expansions. [Latest Stablecoin News](https://stablecoininsider.org/) ## **Implications for Solana's Stablecoin Ecosystem** USX's rise signals Solana's DeFi maturation. Native [**yield-bearing stablecoins**](https://stablecoininsider.org/yield-bearing-stablecoins-2026/) reduce bridging outflows, supporting ecosystem TVL growth to ***$13-35 billion*** ranges across metrics in 2025. Competing with bridged USDC/USDT, USX captures demand for on-chain yields, positioning Solana as a hub for institutional-grade products. > Upcoming SLX token (governance/utility) and airdrops tied to TVL milestones further incentivize participation. [![Solstice's USX Becomes the Largest Stablecoin on Solana](https://storage.ghost.io/c/73/6a/736af0e4-2274-4543-a329-2952b2b52abc/content/images/2025/12/image-444.png)](https://solstice.finance/usx) ## **Conclusion** USX's ascent to over ***$328M TVL*** cements Solstice's position in Solana DeFi, offering competitive yields and strong integrations amid ecosystem expansion. Resilience through market stress positions it for continued dominance in native stablecoins. [Work With Us](https://form.typeform.com/to/c5cdIHp0?typeform-source=www.stablecoininsider.com) **Read Next:** - [**Best Cross-Chain Stablecoin Bridges for 2026**](https://stablecoininsider.org/cross-chain-stablecoin-bridges-2026/) - [**Best Stablecoins for Cross-Border Payments in 2025**](https://stablecoininsider.org/cross-border-payments-2025/) - [**The Role of Stablecoins in Monetary Policy Transmission**](https://stablecoininsider.org/stablecoins-in-monetary-policy-transmission/) --- ## **FAQs:** ### 1\. What is USX? USX is a Solana-native synthetic stablecoin issued by Solstice Finance, pegged 1:1 to USD and backed by over 100% collateral in USDC, USDT, and assets like Ondo's OUSG. ### 2\. How does USX generate yield? Holders lock USX in YieldVault for eUSX, accessing institutional delta-neutral strategies including funding-rate arbitrage and hedged staking. ### 3\. Is USX the largest stablecoin on Solana? No, bridged USDC/USDT lead overall supply, but USX holds the highest TVL among native Solana-issued stablecoins at over $328M. ### 4\. What caused the December 2025 depeg? Secondary market liquidity drain during low-volume holiday trading; resolved via injections without impacting reserves. ### 5\. How to acquire or use USX? Mint via Solstice app with collateral, trade on DEXs, or integrate via partners like Kamino for lending/yield farming. --- **Disclaimer:** This content is provided for informational and educational purposes only and does not constitute financial, investment, legal, or tax advice; no material herein should be interpreted as a recommendation, endorsement, or solicitation to buy or sell any financial instrument, and readers should conduct their own independent research or consult a qualified professional.