The fully collateralized stablecoin is issued by Bridge, a firm Stripe acquired, and ties Treasury-backed reserve income to token buybacks and DeFi incentives on Sui.
Sui is using its native stablecoin USDsui to redirect reserve income back into its own network rather than letting the issuer keep the yield. The fully collateralized token is backed by US Treasury bonds and other liquid instruments, with issuance handled by Bridge, a firm that Stripe acquired. Yield from those reserves is intended to flow into open-market SUI buybacks and DeFi (blockchain-based finance) liquidity incentives, creating a feedback loop that could support token demand and on-chain activity. Mysten Labs co-founder Adeniyi Abiodun said the structure is designed to close what he described as a long-standing value-extraction gap in stablecoins, adding: “That yield effectively can get funneled back from the foundation straight to the Sui ecosystem.” The pitch is that reserve profits, instead of being retained by issuers such as Circle or Tether, can be used to benefit SUI holders and DeFi participants. Sui introduced USDsui after already processing more than $1 trillion in cumulative stablecoin transfers, with $111 billion of stablecoin volume recorded in January 2026 alone. On the launch day, SUI rose 3.86%, suggesting a measured positive market reaction. The model’s eventual impact may depend less on short-term price moves than on USDsui’s circulating supply, because larger reserves would translate into more annual Treasury yield and therefore more capacity for buybacks. The article argues that a stablecoin with $100 million in reserves generating 4-5% yield might produce $4-5 million a year for buybacks, while $10 billion in reserves could generate $400-500 million annually.