BounceBit, a leading centralized Bitcoin restaking platform, today announced partnership with Hashnote, a company recently acquired by Circle. This collaboration integrates Hashnote’s yield-bearing USYC token into BounceBit’s platform. This provides institutional investors dual-yield opportunities that bridge U.S. Treasury stability with Asian market trading advantages.
A unique cross-market edge for investors
The integration of USYC into BounceBit’s platform enables institutions to leverage the world’s largest tokenized money market fund as collateral for delta-neutral trading strategies in Asian markets. This approach combines the security of U.S. Treasury bills with the dynamic potential of Asia-based trading.
Jack Lu, founder and CEO of BounceBit, mentioned the growing interest from Asian investors in U.S. markets.
“We’re seeing increasing demand from Asian investors seeking exposure to U.S. markets. This product allows investors to simultaneously profit from U.S. market exposure and Asia-based trading strategies,” Jack said in a release shared with AlexaBlockchain.
Real-World Asset Integration in CeDeFi
USYC, a tokenized representation of Hashnote’s International Short Duration Yield Fund (SDYF), plays a pivotal role in BounceBit’s centralized DeFi (CeDeFi) system. By integrating real-world assets (RWA) into its platform, BounceBit offers a stable and regulated foundation for its credit market, bridging traditional finance with digital asset ecosystems.
This partnership positions BounceBit as a leader in institutional DeFi adoption. BounceBit becomes the first platform to enable direct RWA-to-centralized exchange (CEX) trading credit. The collaboration also facilitates seamless integration between traditional prime brokers and major digital asset exchanges, strategically connecting U.S. RWA capital with Asian exchange infrastructure.
Circle Acquired Hashnote
Earlier this month, Circle acquired Hashnote, the issuer of USYC. This proves the growing importance of tokenized assets in the financial sector. USYC has emerged as the largest tokenized U.S. Treasury product, reflecting a significant shift towards integrating traditional financial instruments with blockchain technology.
Jeremy Allaire, CEO and Chairman of Circle, highlighted the transformative potential of this acquisition, stating, “The integration of USYC and Hashnote into Circle’s platform marks a major moment in the evolution of the stablecoin market, as cash and yield-bearing short-duration treasury bill assets become fungible and convertible at the speed of blockchains and crypto capital markets.”
BounceBit
Founded in 2023 and headquartered in Singapore, BounceBit aims to bridge the gap between centralized and decentralized finance. The company offers a dual-token Proof of Stake Layer 1 blockchain associated with Bitcoin and its native token $BB, supporting EVM compatibility. This infrastructure enables liquidity custody tokens for restaking and on-chain DeFi farming, providing transparent and secure yield products for users.
In its initial funding round in February 2024, BounceBit raised $6 million, attracting investments from notable firms such as Blockchain Capital and Breyer Capital. Subsequent funding rounds have seen participation from investors including Boyaa Interactive, further bolstering the company’s financial foundation.
Strategic Investments and Partnerships
BounceBit’s growth has been marked by strategic investments and partnerships aimed at enhancing its CeDeFi infrastructure. Notably, Laser Digital, a subsidiary of Nomura Group, invested in BounceBit to advance the integration of real-world assets into decentralized finance.
Jack Lu said: “The cooperation with Laser Digital not only means capital but also is part of our efforts to build a bridge between TradFi and DeFi. The insights and influence of institutions like Laser Digital will play a crucial role in the future development of RWA on BounceBit.”
The Broader Context: Tokenization in Finance
The partnership between BounceBit and Hashnote reflects a broader trend in the financial industry towards tokenization—the process of converting real-world assets into digital tokens on a blockchain. Tokenization offers numerous benefits, including increased liquidity, fractional ownership, and enhanced transparency.
Circle’s acquisition of Hashnote and the integration of USYC into BounceBit signify a growing recognition of the value of tokenized assets. As traditional financial institutions increasingly explore blockchain technology, collaborations that bridge the gap between conventional finance and DeFi are becoming more prevalent.
Overall, the BounceBit-Hashnote partnership exemplifies the dynamic evolution of the financial sector. It highlights the increasing interplay between traditional financial instruments and blockchain technology. As institutions seek diversified and efficient investment strategies, the integration of tokenized assets into DeFi platforms offers a promising pathway toward a more interconnected and versatile financial ecosystem.
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