Solstice Taps Chainlink, Ceffu for Solana-Based USX Stablecoin Launch

Solstice Taps Chainlink, Ceffu for Solana-Based USX Stablecoin Launch

DeFi protocol Solstice Finance has announced strategic partnerships with data provider Chainlink and custody firms Ceffu and Copper. The collaborations are intended to support the upcoming launch of USX, a new stablecoin built on the Solana 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.

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.

Read original story Solstice Taps Chainlink, Ceffu for Solana-Based USX Stablecoin Launch by Zoran Spirkovski at Coinspeaker.com