USDFC Stablecoin Launches on Filecoin Network with Overcollateralized USD Liquidity and On-Chain DeFi Tools Powered by Secured Finance

On June 3, Filecoin Network shared the insights of the USDFC launch through the X platform. This new overcollateralized digital asset is backed by Filecoin (FIL) and operates entirely on the Filecoin Virtual Machine (FVM). The partnership aims to deliver stable, USD-denominated liquidity for Filecoin users without leaving the ecosystem. With a minimum collateralization ratio of 110%, USDFC stablecoin provides access to a stable unit of account, enabling storage payments, lending, borrowing, and cross-chain bridging. The protocol integrates security audits, automated arbitrage mechanisms, and a transparent on-chain governance model. This development marks a turning point for decentralized finance (DeFi) tools within the Filecoin ecosystem.

USDFC Stablecoin Native Overcollateralization Model on Filecoin

On May 27, 2025, Secured Finance AG announced the launch of the USDFC stablecoin on the Filecoin Network. USDFC uses a collateralization structure similar to protocols like DAI and Ethena. It requires FIL locked into smart contracts on the Filecoin Virtual Machine. Every unit of USDFC is overcollateralized, ensuring the protocol maintains more value in FIL than the total issued supply.

Users can mint USDFC directly through the official platform by depositing FIL. Smart contracts handle all issuance and redemption processes with no centralized custodians. The system audits and uses open-source code, ensuring trust through verifiability. A built-in 24-hour arbitrage bot helps stabilize the price close to $1, avoiding the need for external pegs. This method ensures capital efficiency and security while keeping user assets entirely on-chain.

DeFi Use Cases Within the Filecoin Ecosystem

The USDFC stablecoin unlocks several use cases that address long-standing challenges for the Filecoin community. Secured Finance enables lending of USDFC using fixed maturity contracts. It supports FIL, iFIL, and pFIL as collateral. Through Axelar and SquidRouter, USDFC stablecoin can bridge to other chains, enhancing liquidity options. Additionally, USDFC can be used to pay for Filecoin storage providers like Lighthouse in USD terms.
Moreover, users can lock in value without selling FIL, providing a buffer against price swings. Smart contract compatibility with wallets like MetaMask ensures broad accessibility. USDFC also integrates with SushiSwap for on-chain trading.

Security and Audit Standards Raise Protocol Confidence

The protocol underwent two independent audits by Hexens and Decurity. All 36 identified vulnerabilities are resolved, and no high-risk issues remain. A stress test by CryptoEconLab confirmed its resilience during adverse market scenarios. All smart contracts are verified and operate based on deterministic code. No off-chain or discretionary control exists over collateral or minting. This positions USDFC stablecoin as a secure and predictable asset within Filecoin’s smart contract layer. Such infrastructure is critical as stablecoins become essential to DeFi growth. It places Filecoin among the few Layer 1s offering native, decentralized stablecoin solutions.

Expanding Financial Infrastructure on Filecoin With USDFC Stablecoin 

The Filecoin-backed stablecoin introduces a foundational building block for further DeFi innovation. Developers can build applications using a stable unit of value. Storage providers gain access to stable payments without currency conversion hurdles. Users can access USD-based services while holding FIL. This launch signals growing maturity in decentralized ecosystems that previously lacked stable payment options. The dual symbolism of the USDFC logo, combining the yin-yang of FIL and FIL⁻¹ and a gold-toned equal sign, echoes its purpose of balance and trust. Future plans include fiat on-ramps, expanded dApp integration, and delta-neutral yield strategies. These updates enhance the adoption and functionality in the coming months.

Looking Ahead: Stability and Liquidity in One Protocol

The launch of USDFC stablecoin provides the Filecoin network with a decentralized, overcollateralized asset to power its economic layer. By enabling stable liquidity, preserving FIL utility, and fostering new DeFi opportunities, USDFC lays a robust foundation for on-chain finance. Its transparent design, open infrastructure, and high audit standards reflect a serious step toward real Web3 innovation, beyond hype and listings. With further adoption, USDFC could become a core pillar of Filecoin’s growing DeFi stack.

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