Coinbase's asset management division has unveiled a credit fund linked to stablecoin markets, featuring a tokenized share class for on-chain access. The fund, dubbed Coinbase Stablecoin Credit Strategy (CUSHY), targets institutional investors seeking yield from digital asset lending.
Investors can hold tokenized shares on-chain via Superstate's platform, available on Ethereum, Solana, and Base, a blockchain built on Ethereum. This development highlights the growing convergence of traditional credit markets and crypto infrastructure, driven by the surge in stablecoin transactions. According to Coinbase Asset Management President Anthony Bassili, 'Stablecoins are the foundation of the next financial era.' With CUSHY, the company aims to combine the efficiency of digital rails with the rigor of traditional credit.
The move also underscores a broader trend of asset managers using tokenization to extend existing products and bring traditional finance activity to the blockchain environment. CUSHY's tokenized share class is powered by FundOS, Superstate's platform for on-chain investment funds. This approach is gaining traction, with Invesco, an asset manager with over $2 trillion in assets under management, recently adopting the platform. Superstate co-founder Jim Hiltner noted, 'We are the connective tissue between on-chain demand and managers with sophisticated institutional experience.' The partnership is expected to enable the fund to expand across multiple blockchain networks and into decentralized finance (DeFi) use cases, with several more asset managers anticipated to adopt the platform in the coming months.