The Sui dollar (USDsui), the stablecoin of the Sui blockchain, launched on Wednesday with the promise that revenue from the assets backing the token can be funneled back into the ecosystem from which it emerged.
The yield of bonds and liquid assets backing USDsui can be used to buy back and eliminate tokens from circulation or implemented in decentralized finance (DeFi) protocols and automated market making to incentivize exchanges, said Adeniyi Abiodun, co-founder of Mysten Labs, the original contributors to Sui.
The growth of stablecoins has been rapid and the $310 billion market capitalization industry led by Tether and Circle Internet (CRCL) is entering the global payments arena. Both companies keep all of the yield generated by the large amount of US Treasuries backing their dollar-pegged tokens, USDT and USDC, respectively.
“I think we are starting to see a dislocation of the business model of stablecoin issuers, whereby performance is largely reserved for external agencies that don’t really add value to the ecosystem,” said Adeniyi Abiodun, co-founder of Mysten Labs, the original contributors to Sui. “That performance can be effectively channeled from the grassroots directly into the Sui ecosystem.”
Plans for the coin, which is issued by Bridge, the stablecoin firm acquired last year by payments giant Stripe, were first announced in late 2025. Sui was built by a group of former Meta engineers who worked on the social media company’s abandoned Libra/Diem digital dollar project.
“Right now those funds don’t affect the ecosystem; they really flow out,” Abiodun said in an interview. “Our goal is to close that loop. So it’s the actual performance of real-world finance coming back into DeFi that creates a flywheel.”
Starting a stablecoin is not such a big job when your network has carried more than $1 trillion worth of stablecoins: like USDT, USDC and other stablecoins, Abiodun said.
“The Sui Foundation actually has USDC and other stablecoins today, so they can transition a lot of them directly to Sui Dollar. Mysten Labs can do the same. On top of that, we have a lot of investors and hedge funds that are interested in minting Sui USD. So starting this is actually very easy,” he said.
Abiodun’s former colleagues at Facebook and Libra coin partners are the co-founders of Mysten Labs: George Danezis (Chief Scientist), Sam Blackshear (CTO), Evan Cheng (CEO), Kostas Kryptos Chalkias (Chief Cryptographer).
