Solstice Labs, Cor Prime, and Membrane Labs have completed what they described as the first institutional-grade stablecoin-for-stablecoin repurchase agreement settled on a public blockchain. The transaction was structured using established traditional market documentation and was serviced entirely through blockchain-based infrastructure. According to the companies, this development marks the emergence of a standardized funding market for stablecoins that mirrors the mechanics of traditional finance while operating on open blockchain networks.
Solstice Finance, a decentralized finance protocol created by Solstice Labs AG in collaboration with the Solstice Foundation, played a central role in the transaction. Solstice Labs operates as part of Deus X Enterprise. The firms involved emphasized that the repo brings familiar liquidity management tools from traditional finance directly into the digital asset ecosystem without relying on pooled lending models or experimental legal frameworks.
Traditional Market Structure on Blockchain Rails
The repurchase agreement was executed bilaterally under a Global Master Repurchase Agreement combined with a Digital Asset Annex. Both the asset leg and the cash leg of the transaction were transferred directly between institutional wallets across the Solana and Ethereum blockchains. Membrane Labs provided the post-trade credit infrastructure, which handled settlement, servicing, and lifecycle management onchain, including the ability to move assets across chains with full ownership transfer and a predefined unwind at maturity.
Participants highlighted that this was the first time a native stablecoin had been used as the asset leg in an institutional repo transaction. In this case, Solstice supplied its USX stablecoin as collateral, while Cor Prime delivered USDC as the cash leg. At maturity, the transaction will unwind at a price reflecting the agreed repo rate, closely following the economic and operational logic of traditional repo markets rather than automated smart-contract lending pools.
Addressing Long-Standing Stablecoin Limitations
Stablecoins differ widely in terms of liquidity, regulatory perception, and institutional acceptance. Until now, issuers and traders have largely been limited to overcollateralized loans or automated lending protocols when seeking short-term financing. Market participants involved in the transaction noted that these models do not provide the same balance sheet flexibility or legal clarity as repos used in traditional capital markets.
By enabling USX to be financed against USDC through a standardized repo framework, Solstice gains additional tools for managing liquidity and supporting its peg during periods of market stress. The structure also introduces new opportunities for investors to earn structured returns using mechanisms that align with established institutional practices.
Solstice, Cor Prime, and Membrane Labs just completed the first institutional stablecoin-for-stablecoin repo on a public blockchain.
Cor Prime is lending stables against USX as collateral. This gives Solstice overhead and news tools to manage liquidity and support the peg…
— Solstice (@solsticefi) December 23, 2025
Solstice’s leadership indicated that applying traditional balance sheet tools to stablecoins strengthens operational discipline and supports peg resilience. They also noted that surplus capital can be deployed to generate low-risk, structured yield for the protocol without undermining stability.
Infrastructure and Liquidity Support
Membrane Labs’ role centered on delivering the post-trade credit layer required for institutional repos. Its platform allows counterparties to transact under familiar legal agreements while benefiting from the speed and finality of public blockchain settlement. Company executives framed the transaction as an early step toward a fully functional institutional repo market for digital assets, where stablecoin collateral can move with legal certainty and operational rigor.
Cor Prime provided the institutional liquidity and acted as the over-the-counter counterparty, enabling the first cross-chain stablecoin repo on a public network. Its leadership emphasized that integrating off-chain liquidity with on-chain execution improves capital efficiency and allows funds to flow more effectively to areas of highest demand.
Toward a Standardized Stablecoin Funding Curve
The successful execution of this repo establishes a foundation for a broader stablecoin funding market on public blockchains. As similar structures are adopted, issuers may gain more precise liquidity management tools, market makers could access financing aligned with institutional standards, and investors may benefit from repo-style returns backed by digital assets.
Industry participants involved in the transaction characterized it as an initial step toward building a standardized stablecoin funding curve, introducing one of the most critical liquidity mechanisms in global finance into the digital asset landscape.
