On September 8, 2025, MegaETH, an Ethereum Layer 2 blockchain, launched its USDm stablecoin in collaboration with Ethena, backed by BlackRock’s tokenized BUIDL U.S. Treasury fund, to subsidize gas fees, per Tokentopnews.com and. USDm, issued on Ethena’s USDtb rails, uses reserve yields to fund sequencer operations, enabling sub-cent fees and enhancing transaction speeds, per. Shuyao Kong, MegaETH co-founder, stated, “USDm means lower fees for users and a more expressive design space for applications,” per.
USDm redirects financial yield from BlackRock’s BUIDL (market cap $2.2B) and liquid stablecoins to cover sequencer costs, decoupling revenue from user fees, per,. This model supports 10,000+ TPS and integrates with wallets, apps, and on-chain services, boosting DeFi and NFT use cases, per. Analysts predict increased developer and user adoption due to low-cost transactions, with USDm potentially rivaling USDT and USDC, per. X posts from @ethena_labs highlight Ethena’s $13B TVL as a stable foundation, per.
The use of tokenized Treasuries aligns with U.S. regulatory trends, such as the GENIUS Act, but introduces compliance considerations for yield-backed stablecoins, per. MegaETH’s flexible reserve structure allows adaptation to market conditions, per. Bitcoin (BTC) ($113,234) and Ethereum (ETH) ($4,070) remain stable, per CoinMarketCap, but USDm could shift stablecoin market dynamics, per. X posts from @TheWhale_hunter note $280B in stablecoin volume, underscoring USDm’s potential, per.
Monitor USDm adoption on CoinGecko and MegaETH TVL on DefiLlama. Diversify into USDC or ETH with stop-losses below BTC’s $112,000, per TradingView. Follow @TheBlock__ on X for updates. USDm could capture $10B in market cap by 2026 if adoption grows, but regulatory scrutiny remains a risk, per. Check sec.gov for compliance updates, per.
