Crypto’s Newest Stablecoin Is Inflation-Linked Bond Alternative

A new cryptocurrency aims to occupy the final frontier of investor safety — cash that doesn’t lose purchasing power to inflation.

USDi, being launched by two veterans of US inflation-protected and foreign-exchange derivatives, is a dollar tracking stablecoin whose value is determined by the increase in the US consumer price index since December 2024. On April 15, it was $1.00863.

Inflation protection in US markets has been available to investors since 1997 via Treasury inflation-protected securities, or TIPS — government bonds whose principal is indexed to the US consumer price index, or CPI. But as bonds, they’re subject to losses ...