Filecoin Users Gain USD-Backed Stablecoin With USDFC Launch

• USDFC is overcollateralized with FIL, maintaining a 110% ratio and fully on-chain issuance and redemption via FVM smart contracts.

• The stablecoin supports DeFi use, storage payments, and cross-chain bridges, expanding Filecoin ecosystem liquidity and utility.

• USDFC’s open-source design and audits ensure transparency, security and predictable behavior for developers and users.

Secured Finance AG launched USDFC, a Filecoin-backed stablecoin in 2025, within the Filecoin Network. Designed to maintain a USD peg, USDFC leverages FIL as collateral on the Filecoin Virtual Machine (FVM). The project aims to provide stable, on-chain liquidity for Filecoin users while retaining exposure to FIL and supporting storage payments and DeFi activity.

Overcollateralized Model and Protocol Mechanics

USDFC operates on an overcollateralized model, requiring a minimum collateralization ratio of 110%. FIL tokens are locked into smart contracts on the FVM to mint USDFC, ensuring that the system maintains more value than the issued stablecoin supply.

Smart contracts handle all issuance and redemption, removing centralized custodianship. The protocol incorporates 24-hour arbitrage mechanisms to stabilize prices while remaining fully on-chain.

According to Filecoin Network updates, the protocol underwent two independent audits by Hexens and Decurity. All vulnerabilities identified were resolved, and stress tests confirmed resilience in adverse market conditions.

The system maintains transparency through open-source, verified smart contracts, ensuring deterministic and predictable behavior without off-chain discretion.

DeFi Integration and Use Cases

USDFC unlocks multiple decentralized finance applications for the Filecoin ecosystem. Users can lend USDFC using fixed maturity contracts, using FIL, iFIL, or pFIL as collateral. The stablecoin can bridge to other chains via Axelar and SquidRouter, expanding liquidity options.

Additionally, it enables Filecoin storage payments in USD, preserving FIL holdings and mitigating volatility risks. Integration with wallets like MetaMask and on-chain trading platforms like SushiSwap increases accessibility.

Expanding Filecoin’s Financial Infrastructure

The stablecoin serves as a foundational tool for further DeFi innovation on Filecoin. It offers developers a reliable unit of account, supports storage providers with stable payments, and facilitates cross-chain services.

The dual-symbol USDFC logo, combining FIL and FIL⁻¹ elements with a gold equal sign, reflects its design of balance and trust. Future plans include fiat on-ramps, broader dApp integration, and delta-neutral yield strategies to enhance ecosystem adoption.

USDFC establishes a decentralized, overcollateralized asset layer for Filecoin, enabling stable liquidity while preserving FIL utility and supporting growing on-chain financial activity.