Coinbase's asset manager to offer stablecoin credit fund with tokenized share class

The fund, dubbed CUSHY, targets yield from onchain lending and private credit, offering tokenized access through Superstate for institutional investors.

What to know:

• Coinbase Asset Management (CBAM) is introducing a credit fund tied to stablecoin markets with a tokenized share class.
• The fund, dubbed CUSHY, will use Superstate’s FundOS platform to issue onchain shares on Ethereum, Solana, Base blockchains.
• The move reflects growing demand for yield products built on blockchain-based rails, CBAM president said.

Coinbase's (COIN) asset management arm said Thursday it's rolling out a credit fund tied to stablecoin markets, with plans to offer investors onchain access through a tokenized share class.

The fund, called the Coinbase Stablecoin Credit Strategy (CUSHY), targets institutional investors seeking yield from lending activity tied to digital assets.

Investors will have the option to hold shares onchain through tokenization specialist Superstate's platform. The fund will be available on Ethereum, Solana, and Base, Coinbase's blockchain built on Ethereum.

The fund reflects a growing overlap between traditional credit markets and crypto infrastructure. Transactions in stablecoins — cryptocurrencies with prices pegged to fiat money — have surged in recent years as more financial activities migrate onto blockchains. The supply of stablecoins doubled to $300 billion in the past two years, while monthly transaction volume tripled to $1.2 trillion.

"Stablecoins are the bedrock of the next financial era," said Anthony Bassili, president of Coinbase Asset Management. "With CUSHY, we are fusing the efficiency of digital rails with the rigor of traditional credit."

Fund tokenization trend

The move also highlights a broader trend: Asset managers are starting to treat tokenization as an extension of existing products for broader distribution, a shift that could bring more traditional finance activity to the blockchain environment.

CUSHY's tokenized share class is powered by FundOS, Superstate's platform for bringing investment funds onchain. Rather than building custom token structures, asset managers can use FundOS to issue and manage blockchain-based shares alongside traditional ones.

That approach is gaining traction. Invesco, an asset manager with more than $2 trillion in assets under management, recently became the first large asset manager to adopt the platform, underscoring a move toward shared infrastructure rather than one-off tokenization efforts.

"We are the connective tissue between onchain demand and managers who have highly sophisticated institutional experience," said Jim Hiltner, co-founder of Superstate.

Superstate said it expects several more asset managers to adopt the platform in the coming months, suggesting early momentum beyond initial partners.

Superstate CEO Robert Leshner said the partnership will allow the fund to expand across multiple blockchain networks and into decentralized finance (DeFi) use cases.

More For You

Anchorage seeks to expand its issuance platform through M0, and opens the door to a broad range of firms looking to launch U.S.-regulated stablecoins.

What to know:

• Anchorage Digital, the U.S' first federally chartered crypto bank, has tapped M0 as its core technology provider.
• Anchorage's aim is to become the primary engine for institutions looking to mint and manage regulated stablecoins.
• M0’s protocol for global institutions to mint fully configurable stablecoins, is already used by the likes...

Crypto for Advisors: Breaking down the Sui blockchain

1 minute ago

Anchorage Digital and M0 team up to power next wave of regulated stablecoins

1 minute ago

Banks push to slow stablecoin law as Agora races for charter

1 hour ago

CoinDesk 20 performance update: Aptos (APT) gains 4.4% as nearly all assets rise

1 hour ago

The long con: How North Korean spies spent months in-person to drain $285 million from Drift

2 hours ago

MARA Holdings to buy Long Ridge Energy in $1.5 billion AI data center push

2 hours ago

Wasabi Protocol drained of $4.5 million in apparent admin key compromise

4 hours ago

Bitcoin faces $80,000 resistance as derivatives show signs of risk aversion

4 hours ago

Trump-backed World Liberty Financial races toward 62 billion token unlock with near-unanimous vote

7 hours ago

Seasonal trends favor bulls even as bitcoin ends April in a defensive mood

3 hours ago

Jack Mallers' Twenty One Capital surges after majority holder Tether proposes 3-way merger

16 hours ago

Dogecoin zooms 10%, breaking away from bitcoin as open interest hits a yearly peak

7 hours ago