Editor’s note: Falcon Finance has announced a $50 million ecosystem fund aimed at accelerating the development of structured yield products built on tokenized real-world assets. The initiative targets teams working on infrastructure that allows assets such as U.S. Treasuries, precious metals, and other RWAs to function as reusable, on-chain collateral. At a time when tokenized Treasuries and private credit are growing quickly but remain operationally fragmented, the fund is positioned to support more institution-ready use cases. The announcement highlights Falcon’s broader strategy to consolidate diverse collateral types into a unified layer for yield generation.
Key points
- $50 million fund split evenly between capital investment and vested FF token incentives.
- Focus on fixed income, tokenized RWAs, and precious metals used as on-chain collateral.
- Support for products that increase usage and circulation of Falcon’s USDf collateral primitive.
- Priority given to teams with a working product and a clear path to adoption.
Why this matters
Tokenized real-world assets are attracting institutional interest, but practical yield strategies remain siloed by asset class and venue. By funding infrastructure that makes these assets interoperable and composable, Falcon Finance is addressing a key bottleneck in RWA adoption. For builders and investors, the fund signals continued capital allocation toward on-chain representations of traditional assets and the tooling needed to integrate them into scalable, risk-aware financial products.
What to watch next
- Which early-stage teams and protocols receive backing from the ecosystem fund.
- New yield products or integrations launched using USDf as a base layer.
- Adoption of Falcon’s collateral framework across institutional-focused DeFi use cases.
Disclosure: The content below is a press release provided by the company/PR representative. It is published for informational purposes.
Falcon Finance today announced a $50 million ecosystem fund to back teams building the next generation of structured yield products and infrastructure that make tokenized U.S. Treasuries, tokenized gold, and other real-world assets usable as reusable collateral.
The fund will support projects across three areas: fixed income and Treasury-based products, tokenized real-world asset (RWA) protocols, and precious metals such as gold, silver, and platinum — required for institutional-grade yield strategies building on Falcon’s Universal Collateral Layer. The fund is structured as a mix of capital and incentives, with 50% allocated in capital and 50% in vested FF tokens. It will back teams whose products directly increase the demand, circulation, and composability of Falcon’s collateral primitives, including USDf. For example: teams building yield infrastructure, RWA integrations, and structured products using USDf as a base layer.
Tokenized real-world assets are growing rapidly, particularly in the U.S. Treasuries and private credit, but much of that collateral remains underutilized because yield products are still fragmented by asset type and venue. The fund is intended to accelerate infrastructure that makes tokenized collateral more usable across products and venues in institution-oriented formats.
Falcon’s platform connects collateral types including major digital assets and tokenized instruments—such as gold, equities, and sovereign bonds—into a unified collateral layer intended to support steadier, structured yield. The protocol has scaled to over $2.5 billion in total value locked and $2.1 billion in USDf supply.
“The synthetic dollar market has proven the model and scaled into the billions,” said Andrei Grachev, Founding Partner at Falcon Finance. “The next wave is universal collateral—Treasuries, gold, equities, sovereign bonds—generating yield through the same infrastructure. We’re backing builders who see that future and know how to ship.”
The fund will prioritize teams with a working product (MVP or later) and a clear path to adoption. Examples of supported work may include fixed-rate lending on tokenized Treasuries, options and risk infrastructure for yield-bearing collateral products, and RWA yield aggregation and risk tooling.
Portfolio teams will receive funding alongside go-to-market support, including strategic advisory, product guidance, and introductions across Falcon’s network of exchanges, custodians, and ecosystem partners. The fund is live. Applications are open via falcon.finance/contact-us.
For more information, visit falcon.finance
