I’ve been using Falcon for a while now, mostly for one reason: I didn’t want to sell my ETH or BTC, but I also didn’t want them just sitting there. Minting USDf against them and staking into sUSDf for a steady 9–10% has been about as low-stress as DeFi gets. No daily farming, no incentive games. Just compounding in the background.
This week changed the tone a bit though.
Falcon pushed the entire $2.1B USDf supply onto Base, and suddenly the protocol feels like it’s stepping into a bigger arena. As of December 23, 2025, USDf is live on Coinbase’s L2, which means cheap gas for bridging, staking, and throwing liquidity around without thinking twice about fees.
Reserves are still sitting above $2.3B, spread across BTC, ETH, SOL, tokenized treasuries, gold, and even Mexican CETES. Overcollateralization looks healthy, and the peg has been tight hovering right around $0.998–$1.00.
I bridged some USDf over yesterday just to see how it felt.
Barely any fees. Staking worked fine. Aerodrome liquidity too.Base has been busy lately, so plugging a multi-asset-backed stable into that environment feels like the right move at the right time.
What’s quietly improved
Falcon’s collateral list has grown a lot this year. It’s not just crypto anymore. Between JAAA corporate credit, gold vaults, and emerging-market sovereign bills, the protocol is starting to look more like a balance sheet than a farm.
On the yield side, sUSDf is doing what it’s supposed to do. Returns come from arbitrage, funding rates, and RWA exposure not emissions. About $19M in yield has already been distributed. It’s not exciting, but that’s kind of the point.
The Miles program is still running too. If you’re minting, staking, or providing liquidity, the multipliers add up faster than you’d expect.
$FF check-in
$FF has been trading around $0.094–$0.095 today, putting market cap close to $220M. Volume jumped hard over $130M in the last 24 hours which makes sense given the Base rollout. Circulating supply is about 2.34B out of 10B total.
Governance has been more active lately. Votes around staking tiers and new vaults are picking up, and protocol revenue flowing into buybacks is a nice touch. It’s not flying yet, but with Base exposure and more RWAs on the roadmap (including sovereign bonds in early 2026), governance demand could matter more than people think.
The risks are still there
None of this removes the usual concerns. A sharp crypto drawdown could still stress the system, even with overcollateralization and the insurance fund. RWAs introduce off-chain risk custody through BitGo and similar providers helps, but it’s not zero.
Some people are still wary of DWF Labs’ involvement and the centralization optics that come with it. Token unlocks are ongoing, so sell pressure isn’t off the table. And regulation around tokenized bonds and gold could get messy down the line.
Why I’m adding anyway
Most stablecoin setups feel like extremes either ultra-centralized with thin yields, or decentralized but fragile. Falcon sits somewhere in between. Yields are better than treasuries, collateral is genuinely diversified, and the system hasn’t needed gimmicks to grow.
The Base deployment is the big unlock for me. It lowers the barrier for retail users who couldn’t justify Ethereum gas, and it puts USDf into an ecosystem where people are actually active.
I added a bit more collateral this morning. Not going all in markets are weird, liquidity is thin with the holidays but Falcon is one of the few DeFi positions I’m comfortable increasing without staring at charts all day.
As always, DYOR. Size it properly. Watch the dashboards. But yeah this Base launch has me more confident in Falcon than I’ve been in a while.
