DWF Labs responds to "stablecoin USDF briefly depegged": reserve collateralization rate is 116%

ChainCatcher news, DWF Labs Executive Partner Andrei Grachev responded to the "temporary de-pegging of the stablecoin USDF," stating that the stablecoin USDF and BTC collateral account for approximately 89% (about $565 million), while altcoins account for about 11% ($67.5 million). The over-collateralization ratio of the reserves is 116%, and every USDF minted must be backed by stablecoins or equivalent hedging positions that have no directional risk.

In terms of yield, the composition of protocol revenue is as follows: basis trading revenue accounts for 44%, arbitrage trading revenue accounts for 34%, and staking revenue accounts for 22%.

It is reported that the stablecoin USDF under Falcon Finance temporarily de-pegged to $0.9432 and is currently quoted at $0.9893, still in a slight de-pegging state. USDF is the stablecoin launched by Falcon Finance, which is supported by DWF Labs.