Editor - Jackie

🌍 Macro:$1T EM deposits eye stables, Wall Street tests G7 coins, and Sui hits $2.6B TVL

Standard Chartered maps a trillion-dollar deposit drain into stables

• The bank estimates up to $1 trillion could move from emerging market deposits into U.S. stablecoins by 2028.
• Emerging market savings may rise from $173B to $1.22T over the same period.
• Standard Chartered projects the global stablecoin market will expand to $2 trillion by 2028, driven by trust in capital preservation.

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Wall Street group chat: BofA, Goldman, Citi, Deutsche, Santander test 1:1 coins

• A group including Bank of America, Goldman Sachs, Citi, Deutsche Bank, and Banco Santander is jointly exploring a 1:1 reserve-backed stablecoin.
• The project will focus on G7 currencies to enhance competition while maintaining full regulatory compliance.
• The total USD stablecoin supply currently stands at $290 billion and growing.

Sui’s total value locked climbs to record $2.6B amid DeFi boom - Source TVL reached $2.6 billion, up 37% in a month and 160% year-over-year.

Global banking consortium studies fully backed digital currency on public chains - Ten major institutions, including MUFG, UBS, TD Bank Group, and Barclays, are exploring a compliant, reserve-backed digital currency.

🔍 Policies: Rewards fight heats up with 250k messages, UK tests stablecoin settlement, and DC stalls legislation

Over 250,000 letters urge U.S. senators to protect stablecoin rewards

• More than 250,000 messages were sent to senators calling for continued access to stablecoin yield programs.
• The “Stand With Crypto” campaign said rewards benefit consumers, while banks pushed to close the “interest loophole.”
• The GENIUS Act blocks issuers from paying yield directly but doesn’t ban affiliate programs.

Bank of England to relax stablecoin caps through exemptions and sandbox trials- The BoE plans to waive caps for select businesses, including crypto exchanges, allowing stablecoins as settlement assets in its Digital Securities Sandbox.

Senate confirms Jonathan McKernan as Treasury under secretary for domestic finance - The Senate approved McKernan’s nomination 51–47, solidifying Trump’s pick for the Treasury post.

Government shutdown stalls progress on U.S. crypto market structure bill - Senate staff pauses have delayed work on the crypto market structure legislation amid the shutdown. Meanwhile, lobbying battles over stablecoin yield rules between banks and exchanges are intensifying in Washington.

🔥 Biz Beats: RLUSD lands in Bahrain, USDe whipsaws to $0.65 and back, and MetaMask upgades

Bahrain says welcome as RLUSD plugs into fintech hubs

• Ripple partnered with Bahrain Fintech Bay to advance stablecoin and blockchain infrastructure adoption.
• The move supports RLUSD’s role in bridging tokenized assets with traditional payment systems.
• Ripple cited Bahrain as one of the world’s first jurisdictions to regulate cryptoassets.

USDe rode the roller coaster to $0.65 then climbed back

• Ethena’s USDe fell to $0.65 against USDT on Binance, a 34% drop from its $1 peg, amid cascading liquidations and market turbulence.
• The $14 billion stablecoin maintained normal minting and redemption operations and stayed over-collateralized throughout the event.
• Ethena Labs said unrealized profits from short positions trading below spot would further strengthen its collateral base, emphasizing the system’s resilience.

Fasset secures Malaysia license to build first Islamic digital bank using stablecoins

• Fasset received a provisional license to operate a Shariah-compliant digital bank in Malaysia.
• The bank will offer riba-free savings and financing products backed by stablecoins and tokenized assets.
• The initiative targets the $5 trillion global Islamic finance market.

Tether co-founder’s USST stablecoin depegs to $0.96 hours after launch - The new USST stablecoin fell to $0.96 shortly after launch, with a market cap under $1 million and just 52 holders. It’s backed primarily by USDY, which allows up to $50 million in mints.

Abracadabra suffers $1.8M exploit in third major DeFi breach since 2024 - Hackers drained $1.79 million in Magic Internet Money (MIM) by bypassing solvency checks.

MetaMask evolves into trading platform with Hyperliquid and Polymarket - MetaMask integrated Hyperliquid and Polymarket for in-app perpetuals and USDC trading on Polygon. The update introduces one-click trading flows, transforming the wallet into a full financial platform.

💡Rollouts: JupUSD anchors Solana, MetaMask pays out $30M, Roughrider targets banks and credit unions

Ethena and Jupiter unveil JupUSD as native Solana stablecoin

• Jupiter will convert $750 million of USDC into JupUSD, its new Solana-native dollar coin.
• At launch, JupUSD will be 100% backed by USDtb, later expanding to Ethena’s USDe reserves.
• The token will serve as Jupiter’s primary trading and lending stablecoin, integrated with platforms like Meteora and Jupiter Lend.
• It will be deeply embedded as collateral and a key trading pair across the Solana ecosystem.

North Dakota and Fiserv to issue “Roughrider” state-backed stablecoin in 2026

• The state will launch the Roughrider stablecoin next year via the FIUSD platform.
• It will be accessible to banks and credit unions across North Dakota.
• Governor Kelly Armstrong said the coin will support a “secure and efficient financial ecosystem.”

MiniPay launches virtual dollar and euro accounts backed by stablecoins - Users can receive USD and EUR through virtual IBANs, automatically converted into USDT or USDC. Funds can be used for everyday purchases or withdrawals to mobile money and bank accounts.

MetaMask announces $30M rewards program featuring mUSD incentives - MetaMask revealed over $30 million in rewards, including payouts in LINEA and its mUSD stablecoin.

Mantle token hits record high as UR app bridges TradFi and DeFi - Mantle’s new UR app offers zero off-ramp fees, instant transfers, and a Mastercard debit card. It integrates Ethena’s USDe stablecoin, offering up to 5% APY without staking or bridging.

💲Money in motion: This week’s hottest stablecoin industry financing moves!

👋 That’s your stablecoin scoop for the week.

Until next time — AllScale Weekly

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