STBL, a next-generation stablecoin protocol, has announced a partnership with Ondo Finance to utilize USDY as the primary collateral for issuing up to $50 million in stablecoins. USDY, a tokenized asset backed by U.S. Treasuries and bank deposits, will bolster STBL's reserve structure, facilitating the minting of USST stablecoins. This collaboration aims to enhance the utility and stability of stablecoins by integrating institutional-grade assets on-chain. STBL's innovative framework separates principal and yield into distinct instruments, with USST functioning as a non-interest-bearing stablecoin and YLD representing yield rights for eligible holders.