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WLFI invests 10 million Dollars in Falcon Finance aiming to improve on-chain Dollar liquidity | CoinDesk JAPAN
According to the announcement via email, this funding contribution will support the technical integration that enables liquidity between Falcon Finance's synthetic Dollar USDf and the stablecoin USD1.
This investment was made as the circulating supply exceeded 1 billion Dollar (approximately 150 billion yen) following the launch of Falcon Finance for the general public.
The risk-adjusted synthetic Dollar protocol of Falcon Finance contrasts with the fully collateralized USD1 of WLFI. WLFI's USD1 can be redeemed at a 1:1 ratio with the Dollar and is backed by money market funds and cash equivalents. This difference means that both projects can provide complementary means of generating yield through on-chain Dollar products.
According to the announcement, USD1 is already being used as collateral within Falcon Finance.
Mr. Zak Folkman, co-founder of WLFI, "By combining the Falcon model with our design backed by fiat currency, we are building a more resilient and flexible digital Dollar ecosystem for users around the world," he stated.
| Translation & Editing: Rina Hayashi | Image: engin akyurt/Unsplash |Original text: WLFI Invests $10M in Falcon Finance to Boost on-chain Dollar Liquidity