Falcon Finance Partners BitGo for USDf Custody Support

Falcon Finance, a synthetic dollar protocol backed by DWF Labs, has announced a significant partnership with BitGo to provide secure custody support for its overcollateralized synthetic dollar, USDf. This integration is set to enhance Falcon Finance’s access to regulated infrastructure and pave the way for future features such as token listing and staking.

BitGo, a leading qualified custodian for digital assets, is currently in the process of onboarding USDf to its custody platform. Once this process is complete, institutional users will be able to hold USDf within BitGo wallets, thereby streamlining access to Falcon’s yield-bearing and overcollateralized synthetic dollar ecosystem.

USDf is created by depositing approved collateral, which includes USD1, a fiat-backed stablecoin issued by World Liberty Financial. The reserves of USD1, composed of short-term U.S. Treasuries and dollar deposits, are held in custody by BitGo. This creates a clear and auditable flow from fiat reserve to synthetic dollar issuance, ensuring transparency and security.

Andrei Grachev, Managing Partner at Falcon Finance, highlighted the significance of this integration, stating that it reflects the growing alignment between synthetic dollar protocols and regulated digital asset infrastructure. He emphasized that BitGo’s custody support provides institutional users with the operational trust and compliance standards required to engage with yield-bearing synthetic dollars like USDf.

Mike Belshe, CEO and Co-founder of BitGo, echoed this sentiment, noting that BitGo prioritizes safety, transparency, and regulatory alignment for every asset it supports. He described Falcon Finance’s USDf protocol as a thoughtful approach to synthetic dollar design, backed by real, auditable reserves and structured with overcollateralization. By integrating USDf into its qualified custody platform, BitGo aims to enable institutional clients to interact with a new class of digital dollars without compromising on compliance or operational integrity.

Once USDf custody is live, Falcon and BitGo plan to expand support to include USDf staking, allowing users to stake USDf into sUSDf vaults via the ERC-4626 standard. Additionally, they will introduce fiat settlement, enabling seamless fiat transfers and on- and off-ramps capabilities through BitGo’s Go Network.

This collaboration between Falcon Finance and BitGo lays the foundation for a broader integration of synthetic dollar infrastructure with institutional custody and liquidity networks. Future phases will introduce Go Network settlement solutions and USDf staking via ERC-4626 vaults, allowing for staked sUSDf. These features aim to support the next wave of compliant, yield-bearing digital dollar adoption across institutional finance.

Falcon Finance is a next-generation synthetic dollar protocol, with USDf being an overcollateralized synthetic dollar backed by diversified crypto assets. It is designed for sustainable yield, preserving users’ multi-assets with industry-competitive yields across any market conditions. The protocol sets a new standard in the industry with transparency, security, and institutional-grade risk management.

BitGo is a leading infrastructure provider of digital asset solutions, delivering custody, wallets, staking, trading, financing, and settlement services from regulated cold storage. Since its founding, BitGo has focused on enabling clients to securely navigate the digital asset space. With a large global presence through multiple regulated entities, BitGo serves thousands of institutions and millions of retail investors worldwide. It handles a significant portion of Bitcoin network transactions and is the largest independent digital asset custodian and staking provider in the world.