Key Notes
- The new USX token will utilize Chainlink’s CCIP technology for seamless transfers between different blockchain networks.
- Institutional traders will benefit from off-exchange settlement options through Ceffu and Copper custody partnerships.
- Solstice’s synthetic dollar-pegged token represents growing institutional adoption within the Solana ecosystem.
DeFi protocol Solstice Finance has announced strategic partnerships with data provider Chainlink
LINK
$21.70
24h volatility:
0.2%
Market cap:
$14.70 B
Vol. 24h:
$840.34 M
and custody firms Ceffu and Copper. The collaborations are intended to support the upcoming launch of USX, a new stablecoin built on the Solana
SOL
$211.8
24h volatility:
1.9%
Market cap:
$115.01 B
Vol. 24h:
$8.67 B
network.
According to a press release published on Sept. 24, Solstice will integrate Chainlink’s Cross-Chain Interoperability Protocol (CCIP). This service is designed to allow the USX stablecoin to be transferred securely across different blockchains. Stablecoin innovations are a recent industry trend leaning toward interoperability, similar to Circle’s Cross-Chain Transfer Protocol.
For transparency, Solstice will also use Chainlink’s Proof of Reserve service, which provides continuous on-chain verification of the assets that collateralize the stablecoin. The use of such verification systems by projects in the Chainlink ecosystem is growing, with a similar implementation recently launched for a stablecoin pegged to the Korean Won.
Security for Institutional Traders
The partnerships with Ceffu and Copper are focused on providing enhanced security for institutional clients. Both firms will offer “off-exchange settlement,” a feature that allows large firms to trade on an exchange. At the same time, their assets remain in a separate, third-party custody vault. Despite reducing decentralization, this structure is designed to minimize counterparty risk for large-volume traders.
Venture firm Arcanum also advises on the token’s economic framework to ensure it meets the requirements of professional trading entities.
Solstice is a DeFi protocol on Solana backed by the investment firm Deus X, which has over $1 billion in assets under management. Its new USX product is a synthetic stablecoin pegged to the US dollar. Other stablecoins, including USDC and USDT, will collateralize it. The project will also feature a “YieldVault” to offer users returns through various trading strategies.
The launch is a notable development for the Solana ecosystem. It aligns with a growing trend of institutional treasury investment in Solana, as more large entities begin to utilize the network’s capabilities.
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Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
As a Web3 marketing strategist and former CMO of DuckDAO, Zoran Spirkovski translates complex crypto concepts into compelling narratives that drive growth. With a background in crypto journalism, he excels in developing go-to-market strategies for DeFi, L2, and GameFi projects.
Zoran Spirkovski on X
Source: https://www.coinspeaker.com/solstice-taps-chainlink-ceffu-for-solana-based-usx-stablecoin-launch/
