Noble Blockchain Launches USDN with M^0's Infrastructure

The Cosmos-based Noble blockchain has officially launched USDN, its new dollar-denominated token, using the decentralized stablecoin infrastructure from M^0, as announced on Thursday.

This marks a pivotal point for the innovative M^0 project, which aims to merge permissioned stablecoin issuance with the strength of decentralized networks.

M^0 is an Ethereum protocol that functions as a “stablecoin extension engine.” It enables developers to customize various aspects of its canonical stablecoin, $M, including branding, compliance tools, and yield distribution.

Backed by established firms like Bain Capital, Galaxy Ventures, and Wintermute Ventures, M^0 seeks to develop into a “federation of stablecoin issuers” by providing “turnkey middleware” solutions for stablecoin launches.

The issuance of $M stablecoins is restricted to approved “minters” vetted by governance token holders and must adhere to M^0’s regulatory policies alongside local regulations. Each token is supported solely by short-dated U.S. Treasurys.

Noble operates as an application-specific blockchain (or “appchain”) that primarily facilitates stablecoin transfers across various blockchains via the Inter-Blockchain Communication (IBC) protocol. It serves as a conduit for stablecoin issuers such as Circle, Hashnote Labs, Monerium, and Ondo Finance, allowing them to integrate with numerous Cosmos-based chains— with an impressive count of about 50.

Recently, Noble secured $15 million in a Series A funding round led by Paradigm and has successfully facilitated over $5 billion in transaction volume within its first year of operation.

The USDN token will use $M as its core component, aiming to provide the broader Interchain ecosystem with “a credibly neutral digital dollar,” according to the company's statement.

Noble CEO Jelena Djuric highlighted that this collaboration not only promotes stablecoin adoption within the Cosmos ecosystem but also sets a new standard for stablecoin design that prioritizes safety, programmability, and interoperability. “We’re excited to redefine what stablecoin infrastructure can achieve within decentralized finance,” she added.

In contrast to leading stablecoins like USDT and USDC, which direct interest revenue to Tether and Circle, the yield generated by M^0’s backing assets is allocated to approved distributors known as “earners,” including market makers Caladan, Galaxy, GSR, and Wintermute.

Moreover, M^0 is structured so that these customized cryptodollars enjoy shared liquidity, security, and yield distribution, ensuring that every M-based stablecoin benefits as the network expands.