DeFi project (Decentralized Finance) and several traditional financial companies. Here is a detailed explanation:
1. Falcon Finance as a DeFi Project (falcon.finance)
This is a universal collateral infrastructure project established in 2024, focusing on synthetic stablecoins and yield generation on the blockchain.
Key Features:
- Main Token:
- USDF: Overcollateralized synthetic stablecoin backed by various assets, including stablecoins (USDT, USDC, DAI), major cryptocurrencies (BTC, ETH, SOL), and Real World Assets (RWA) such as tokenized stocks and US government securities.
- sUSDF: Yield-bearing token created when USDF is deposited into the ERC-4626 vault. The yield comes from institutional-grade trading strategies such as funding spread arbitrage and altcoin staking.
- FF: The native token of the project that captures ecosystem growth, with a maximum supply of 10 billion and a circulating supply of about 2.3 billion (as of December 2025).
- User Flow:
- Mint USDF by depositing collateral assets (stablecoins at a 1:1 ratio, non-stablecoin crypto with over-collateralization based on risk).
- Deposit USDF to earn sUSDF and base yield, or hold sUSDF for a fixed term to enhance yield.
- Redeem USDF back to original assets after a 7-day cooling period.
- Risk Management: Utilizing delta-neutral strategies, machine learning, and a $10 million insurance fund to protect the stability of USDF. Also provides a transparency dashboard for reserves and protocol metrics.
Recent Developments:
- September 2025: USDF reaches $1.2 billion in circulation and launches an insurance fund.
- October 2025: Integrating tokenized stocks (from Backed) and tokenized gold (XAUT) as collateral.
- Market Cap: Market capitalization $FF around $614.83 million (as of December 2025), with an all-time high (ATH) of $1.01 in September 2025.
