@Falcon Finance expands the collateral range through tokenization of real-world assets
Falcon Finance is expanding its collateral framework to accept more tokenized real-world assets to support its over-collateralized synthetic dollar USDf. Users can lock these tokenized holdings to mint USDf, maintaining exposure to the original assets while releasing liquidity on-chain. Recently added collateral includes tokenized stocks introduced in collaboration with Backed@Falcon Finance , such as TSLAx, NVDAx, and SPYx, allowing users to borrow USDf with real stock exposure without solely relying on the price fluctuations of cryptocurrencies. The protocol has also integrated short-term Mexican government bond tokens CETES issued by Etherfuse, as well as JAAA representing AAA-rated corporate credit from Centrifuge, bringing sovereign yields and high-grade corporate credit into the DeFi collateral pool. In December 2025, Falcon will launch a fixed-term staking vault for Tether tokenized gold XAUt, where holders can lock XAUt for a fixed period (e.g., 180 days) to earn structured returns in USDf while maintaining their gold position. These initiatives build on previous support for tokenized government bonds from issuers like Superstate, with custody and verification relying on infrastructure such as BitGo, multi-party computation wallets, and Chainlink oracles. By combining cryptocurrencies, stablecoins, and a diversified range of real-world assets, Falcon aims to strengthen the asset backing of USDf; staked USDf will be converted to sUSDf and generate returns through protocol strategies, including neutral hedging. Security and risk control remain core priorities, with the protocol implementing quarterly audits, establishing an initial on-chain insurance fund of $10 million, and requiring KYC in the minting and redemption processes to manage counterparty and operational risks.
