Binance has integrated Circle's yield-generating stablecoin USYC and OpenEden's tokenized asset cUSDO as off-exchange collateral options for institutional clients through its Banking Triparty platform and custody partner Ceffu. This allows institutions to store these assets off-exchange while using them as margin for derivatives trades on Binance, earning yield on posted collateral.
USYC, a tokenized money market fund backed by U.S. Treasuries acquired by Circle in early 2025, offers near-instant conversion to USDC and will be issued natively on BNB Chain. cUSDO represents wrapped tokenization of OpenEden's USDO stablecoin, collateralized by Treasury bills. The integration diversifies Binance's collateral beyond traditional assets like Bitcoin or fiat.
This development aligns with surging institutional demand for tokenized real-world assets (RWAs), with the market growing from $15.2 billion in December 2024 to $24 billion by June 2025. Binance will cover Ceffu service costs and waive triparty banking fees until 2026 to accelerate adoption. Catherine Chen, Binance's Head of VIP & Institutional, emphasized this enhances "capital efficiency while balancing risk control," while Circle's Kash Razzaghi noted it bridges traditional finance with blockchain markets.