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Marshall Islands issues Universal Basic Income using Stellar and also launches sovereign stablecoin USDM1
【Bitu】The Marshall Islands has taken a major step—starting from November 26, 2025, the government officially launched the National Basic Income Program (ENRA), distributed via the Stellar blockchain.
Where does this money come from? It is allocated from the investment returns of the Compact Trust Fund, with a cap—up to 4% annually. The coverage includes all citizens, with no income or employment restrictions, and distributions are made regularly. The payment methods are flexible, including checks, bank transfers, and blockchain wallets. The digital wallet used is Lomalo, which is supported by Stellar technology.
Even more interesting, the Stellar Foundation has jointly launched a digital sovereign bond called USDM1. This bond is pegged 1:1 to U.S. short-term Treasury bonds, denominated in USD, and redeemed at face value. In simple terms, it combines traditional financial instruments with blockchain technology, creating a new stablecoin option.
This case is quite noteworthy—using blockchain at the national level to distribute public funds while exploring on-chain stablecoin applications. Stellar has moved from theory to practical application this time.