Galaxy Digital Adds $100 Million in sUSDS to Treasury, Approves It as Collateral for Institutional Lending

September 23: Galaxy Digital announced that it has incorporated $100 million of Sky Protocol's yield-bearing stablecoin sUSDS into its corporate treasury and approved it as collateral for its institutional trading business. Max Bareiss, Galaxy's head of lending, said the purchase used funds from the company's own balance sheet; as of June 30, Galaxy held nearly $2.5 billion in cash and stablecoins.

As part of the partnership, Galaxy also purchased an undisclosed amount of SKY tokens. Clients can now borrow against staked sUSDS through Galaxy and continue earning the Sky Savings Rate during the loan term. Galaxy's institutional platform serves over 1,600 counterparties, with an average loan book of $1.4 billion. Sky said sUSDS supply reached $5.52 billion at the end of the second quarter, up 149% year-over-year. The two parties previously had arrangements including a $500 million warehouse financing facility provided by Grove, and are currently discussing expanding that limit.