Key Takeaways
- • Bybit, the world's second-largest cryptocurrency exchange by trading volume, launched Finloop USD Instant Digital Liquidity (FUIDL), a tokenized USD product backed by an AAA-rated money market fund with simultaneous top-tier ratings from S&P (AAAm), Moody's (Aaa-mf), and Fitch (AAAmmf).
- • FUIDL enables institutional and professional investors to access USD liquidity on-chain with hourly subscription and redemption cycles, T+0 same-day interest accrual, and full utilization as trading collateral on Bybit's platform.
- • The collaboration integrates ByCustody with Finloop's tokenization technology to pilot T+0 settlement for select asset types, with global rollout planned throughout 2026.
- • The product bridges traditional and digital asset markets by combining blockchain settlement speed and transparency with money market fund stability and institutional-grade operational standards.
- • The initiative represents a strategic step in Bybit's stated mission to build "The New Financial Platform," positioning the exchange as a bridge between traditional finance and digital assets for institutional capital flows.
Summary
Bybit announced on July 29, 2026, a strategic partnership with Finloop Finance Technology Holding Limited to introduce FUIDL (Finloop USD Instant Digital Liquidity), a tokenized liquidity product designed to provide institutional and professional investors with regulated, blockchain-based access to USD capital. The product is backed by an AAA-rated money market fund and carries the highest possible credit ratings from three major international agencies: Standard & Poor's (AAAm), Moody's (Aaa-mf), and Fitch (AAAmmf).
FUIDL combines infrastructure from both partners: Finloop provides tokenization technology and serves as the tokenization agent connecting traditional money market fund assets to blockchain settlement, while Bybit's ByCustody enables the integration and allows FUIDL tokens to function as trading collateral on Bybit's platform. The product delivers hourly subscription and redemption windows with T+0 same-day interest accrual, allowing investors to move capital between traditional finance and digital asset markets with operational efficiency not previously available at institutional scale. This represents a significant advancement in connecting institutional treasury management with cryptocurrency exchange infrastructure.
The collaboration pilot will initially focus on T+0 settlement for select asset classes, with plans for expanded global deployment throughout 2026. By embedding AAA-rated money market fund backing directly into a blockchain-native wrapper, the product addresses a longstanding institutional investor need: access to yield-bearing USD liquidity with the settlement speed and transparency of digital assets, combined with the credit quality standards expected in traditional finance. The arrangement positions Bybit as a key intermediary in the growing institutional adoption of digital asset infrastructure while maintaining regulatory and credit quality standards essential for institutional capital deployment.
FUIDL combines infrastructure from both partners: Finloop provides tokenization technology and serves as the tokenization agent connecting traditional money market fund assets to blockchain settlement, while Bybit's ByCustody enables the integration and allows FUIDL tokens to function as trading collateral on Bybit's platform. The product delivers hourly subscription and redemption windows with T+0 same-day interest accrual, allowing investors to move capital between traditional finance and digital asset markets with operational efficiency not previously available at institutional scale. This represents a significant advancement in connecting institutional treasury management with cryptocurrency exchange infrastructure.
The collaboration pilot will initially focus on T+0 settlement for select asset classes, with plans for expanded global deployment throughout 2026. By embedding AAA-rated money market fund backing directly into a blockchain-native wrapper, the product addresses a longstanding institutional investor need: access to yield-bearing USD liquidity with the settlement speed and transparency of digital assets, combined with the credit quality standards expected in traditional finance. The arrangement positions Bybit as a key intermediary in the growing institutional adoption of digital asset infrastructure while maintaining regulatory and credit quality standards essential for institutional capital deployment.
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