Coinbase's asset management division has announced the launch of a stablecoin-focused credit fund, dubbed CUSHY, which will provide institutional investors with the opportunity to generate yield through on-chain lending and private credit. The fund will offer tokenized shares, allowing investors to hold them on-chain via Superstate's platform, which will be available on Ethereum, Solana, and Base, Coinbase's Ethereum-based blockchain. This development reflects the growing convergence of traditional credit markets and crypto infrastructure, driven by the surging adoption of stablecoins.
Over the past two years, the supply of stablecoins has doubled to $300 billion, while monthly transaction volume has tripled to $1.2 trillion. According to Anthony Bassili, president of Coinbase Asset Management, "Stablecoins are the foundation of the next financial era," and the CUSHY fund aims to combine the efficiency of digital rails with the rigor of traditional credit. The fund's tokenized share class is powered by FundOS, Superstate's platform for bringing investment funds on-chain.
This approach is gaining traction, with Invesco, an asset manager with over $2 trillion in assets under management, recently adopting the platform. Superstate's co-founder, Jim Hiltner, noted that the company serves as the connective tissue between on-chain demand and asset 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.