Global Bonds, Local Impact: Stablebonds on Stellar

Etherfuse is looking to rewrite the rules of the $140T global bond market with Stablebonds, now available on Stellar. These tokenized real-world assets (RWAs) combine the stability of government bonds with the power of the Stellar blockchain network, unlocking yield opportunities for users around the world.

Etherfuse’s Stablebonds are a tokenized collection of government-issued treasury bonds from countries like the United States and Mexico. These assets are designed to offer low-risk, yield-bearing opportunities onchain, making them an accessible alternative to traditional bond investments. As the underlying treasury bonds earn interest and/or mature, returns will be distributed to Stablebond holders.

In addition to providing users with yield-bearing opportunities onchain, Stablebonds also support the economies of the issuing countries. By keeping the financial benefits of these assets within the local financial system, instead of relying on foreign currencies, Etherfuse’s Stablebonds seek to support local economic growth.

Stablebonds are issued natively on Stellar, making it easy for wallets to add support for Stablebonds by simply adding a trustline. These permissionless assets can be freely bought through the decentralized exchange (DEX), sold, and traded on the blockchain, ensuring liquidity and onchain transparency.

Stablebonds are designed to provide users with accessible yield-earning opportunities while enabling wallets and DeFi applications on Stellar to expand their offerings. Below are a few use cases on Stellar:

• Cross-border reach: Traditional government bonds often come with entry barriers, such as $100 purchase minimums for U.S. Treasuries and a reliance on intermediaries like brokers or banks. Stablebonds help lower these barriers, allowing users around the world to participate in the global bond market with potentially smaller amounts of capital.
• Savings opportunities: Stablebonds can be used as flexible savings tools. Users can hold them in wallets to earn passive interest while still maintaining the ability to send, exchange, or use them as needed on Stellar. This provides an alternative to fixed-term financial products.
• Collateral and liquidity: Stablebonds can also serve as collateral in DeFi applications, supporting borrowing and lending activities. By introducing collateral backed by government bonds, Stablebonds seek to create yield opportunities grounded in real-world economic activity while improving liquidity.

The Stellar network’s combination of affordability, scalability, and real-world utility provides Etherfuse with the infrastructure needed to make Stablebonds a global reality. Here’s how:

• Low transaction costs: Stellar network transaction fees are just fractions of a penny, averaging $0.000053 per transaction. This structure allows for small, fractionalized bond purchases to remain accessible and cost-effective, without hefty transaction fees.
• Global on and off-ramp network: Stellar’s cross-border payment capabilities, powered by the Anchor Network on Stellar – a global network of on and off-ramps spanning 180+ countries – will allow Stablebonds to scale globally. This infrastructure helps foster local economic growth while providing opportunities for global participation in the bond market.
• Focus on real-world utility: The Stellar network is utilized by a diverse ecosystem, from corporations, to small business, and solo entrepreneurs, to solve real-world problems. From streamlining cross-border payments to offering tools to safeguard against inflation, Stablebonds can be leveraged by the Stellar ecosystem to further expand access to financial opportunities worldwide.

The Stablebonds issued by Etherfuse are only available for certain non-U.S. persons in select jurisdictions. They are not for sale in the United States or to U.S. persons.