Coinshift’s csUSDL Stablecoin Surpasses $100M TVL Amid Soaring Demand for Yield-Generating DeFi Assets
Coinshift’s yield-bearing stablecoin csUSDL has officially crossed the $100 million mark in total value locked (TVL), just four months after its launch in January. The rapid growth highlights the increasing appetite for stablecoins that not only maintain a peg to the U.S. dollar but also provide passive income through decentralized finance (DeFi) protocols.
According to data from DeFiLlama, csUSDL's momentum reflects a broader trend within the DeFi space, where investors are seeking low-volatility, yield-generating alternatives to traditional crypto holdings. Built on the Ethereum network, csUSDL earns returns through a mix of on-chain lending and exposure to U.S. Treasury bills, offering a regulated, fiat-pegged product with real-world financial connections.
Backed by Paxos, Embraced by DeFi
csUSDL is structured atop USDL, a stablecoin issued by Paxos International and regulated in Abu Dhabi, which lends an added layer of trust and compliance. Coinshift recently announced it is adding Paxos Gold (PAXG)—a tokenized form of physical gold—as supported collateral. This strategic addition is aimed at broadening the utility of csUSDL and creating a bridge between traditional assets and DeFi ecosystems.
In parallel, csUSDL has generated $16 million in trading volume over 30 days on Pendle, a decentralized platform focused on yield-bearing financial products. The trading activity indicates growing market interest not just in the asset’s returns, but also its composability within broader DeFi strategies.
“Retail investors and institutions are increasingly looking for secure, transparent access to real-world yield without the usual friction of onchain strategies,” said Tarun Gupta, founder and CEO of Coinshift.
Competing in a Crowded Yield Stablecoin Market
csUSDL’s rise places it in direct competition with other leading players in the $5.5 billion yield-bearing stablecoin market, including:
- sUSDS by Sky (formerly MakerDAO)
- USDe from Ethena
- USDY by Ondo Finance
These stablecoins collectively hold about $5 billion in market capitalization and are all vying for the attention of a growing user base hungry for stable returns in a volatile market.
Coinshift’s DeFi Evolution
Founded in 2021, Coinshift initially positioned itself as a DeFi treasury management platform. After raising $2.5 million in seed funding in September 2021, it went on to secure a $15 million Series A led by Tiger Global in May 2022. Today, the company boasts over 300 clients, including DeFi giants like Aave, and manages more than $1.3 billion in assets.
The launch and rapid adoption of csUSDL marks another major milestone for the company as it looks to redefine stablecoin utility within decentralized ecosystems.