Key Takeaways
- • Galaxy Digital (Nasdaq: GLXY) added $100 million of sUSDS, the native savings token of Sky Protocol, to its corporate treasury, making it one of the first public companies to hold sUSDS on its balance sheet.
- • Galaxy approved sUSDS as eligible collateral across its institutional trading business, which carries a $1.4 billion average loan book.
- • Grove, a Prime Agent in the Sky ecosystem, provides Galaxy a $500 million warehouse lending facility, while Galaxy has also borrowed on Spark, a second Prime Agent, to support its GOFR product.
- • Sky Protocol reported sUSDS supply of $5.52 billion at Q2 2026 close, up 149% year over year, and five consecutive profitable quarters including a $33.29 million net surplus in Q2 2026.
- • Per the press release, the partnership is designed to lower a longstanding barrier to institutional participation in onchain yield, though the source is a company-issued announcement.
Summary
Sky Protocol and Galaxy Digital (Nasdaq: GLXY) announced a collaboration spanning lending and capital markets, according to a PR Newswire release issued by the Sky Frontier Foundation. Under the arrangement, Galaxy has added $100 million of sUSDS to its corporate treasury and approved the token as eligible collateral across its institutional trading business, which serves more than 1,600 trading counterparties and carries a $1.4 billion average loan book. Clients who post sUSDS against a loan continue to accrue the Sky Savings Rate for the life of the loan. Galaxy also purchased SKY tokens as part of the arrangement.
The relationship builds on an existing onchain credit arrangement. Grove, described as a Prime Agent in the Sky ecosystem, provides Galaxy a $500 million warehouse lending facility, committing USDS capital through a dedicated vehicle to finance Galaxy's origination of institutional loans secured by digital assets. Galaxy has since borrowed on Spark, a second Prime Agent, to support its GOFR product, tying that financing to Galaxy's own onchain rate and diversifying its funding sources.
Max Bareiss, Head of Lending at Galaxy, said the company has relied on Sky Protocol's infrastructure for some time and that the changes give clients more efficient access to onchain yield. Greg Feibus, Global Head of Capital Markets at the Sky Frontier Foundation, characterized the partnership as a blueprint for connecting traditional finance to onchain capital.
The release cites Sky Protocol performance figures: sUSDS supply reached $5.52 billion at Q2 2026 close, up 149% in a year, and the protocol posted five consecutive profitable quarters, including $107.35 million in gross revenue and a $33.29 million net surplus in Q2 2026. It also states that $5.41 billion entered Q3 2026 through independent allocators and institutional tokenized funds, including anchor positions in BlackRock's BUIDL and Janus Henderson's JTRSY. These figures are company-reported and have not been independently verified in the source material. The release further notes that onchain real-world assets excluding stablecoins surpassed $33 billion in July 2026, roughly four times early 2025 levels.
The release notes that the Sky Frontier Foundation is an independent entity that does not control Sky Protocol or its DAO governance, and that the content is not investment advice or an offer to buy or sell any token.
The relationship builds on an existing onchain credit arrangement. Grove, described as a Prime Agent in the Sky ecosystem, provides Galaxy a $500 million warehouse lending facility, committing USDS capital through a dedicated vehicle to finance Galaxy's origination of institutional loans secured by digital assets. Galaxy has since borrowed on Spark, a second Prime Agent, to support its GOFR product, tying that financing to Galaxy's own onchain rate and diversifying its funding sources.
Max Bareiss, Head of Lending at Galaxy, said the company has relied on Sky Protocol's infrastructure for some time and that the changes give clients more efficient access to onchain yield. Greg Feibus, Global Head of Capital Markets at the Sky Frontier Foundation, characterized the partnership as a blueprint for connecting traditional finance to onchain capital.
The release cites Sky Protocol performance figures: sUSDS supply reached $5.52 billion at Q2 2026 close, up 149% in a year, and the protocol posted five consecutive profitable quarters, including $107.35 million in gross revenue and a $33.29 million net surplus in Q2 2026. It also states that $5.41 billion entered Q3 2026 through independent allocators and institutional tokenized funds, including anchor positions in BlackRock's BUIDL and Janus Henderson's JTRSY. These figures are company-reported and have not been independently verified in the source material. The release further notes that onchain real-world assets excluding stablecoins surpassed $33 billion in July 2026, roughly four times early 2025 levels.
The release notes that the Sky Frontier Foundation is an independent entity that does not control Sky Protocol or its DAO governance, and that the content is not investment advice or an offer to buy or sell any token.
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