Cryptocurrency July 29, 2026 05:01 AM

Bybit and Finloop Launch FUIDL: Tokenized USD Liquidity Backed by AAA-rated Money Market Fund

New tokenized USD product offers same-day interest accrual and on-chain access to a top-rated institutional money market fund, with T+0 settlement pilots planned

By Marcus Reed
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Bybit has partnered with Finloop to introduce the Finloop USD Instant Digital Liquidity (FUIDL), a tokenized US dollar liquidity instrument backed by an AAA-rated money market fund. The product will allow eligible institutional and professional investors to access an on-chain, highly rated USD fund with hourly subscriptions and redemptions and same-day interest accrual, and Bybit will accept FUIDL shares as collateral on its trading platform. The collaboration also aims to pilot T+0 settlement for selected asset types through integration of Finloop's tokenization infrastructure with Bybit's custody services.

Bybit and Finloop Launch FUIDL: Tokenized USD Liquidity Backed by AAA-rated Money Market Fund
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Key Points

  • Bybit has partnered with Finloop to launch FUIDL, a tokenized USD liquidity product backed by an AAA-rated money market fund, and will accept FUIDL shares as collateral on its exchange - impacting cryptocurrency trading infrastructure and institutional cash management.
  • FUIDL offers eligible institutional and professional investors hourly subscription and redemption capabilities, and T+0 (same-day) interest accrual subject to fund arrival timing - affecting short-term liquidity management and settlement processes.
  • Finloop will act as tokenization agent, integrating traditional money market fund assets with blockchain settlement while Bybit pilots T+0 settlement via integration of ByCustody, with plans for global rollout during 2026 - relevant to real-world asset tokenization and custody services.

Bybit, the cryptocurrency exchange ranked second globally by trading volume, announced a strategic collaboration with Finloop Finance Technology Holding Limited to introduce the Finloop USD Instant Digital Liquidity (FUIDL). The offering is a tokenized US dollar liquidity product built on blockchain infrastructure and backed by an AAA-rated money market fund. Under the terms of the tie-up, Bybit will permit FUIDL shares to be used as collateral for trading on its platform.

The arrangement is designed to provide institutional and professional investors with on-chain access to USD liquidity while preserving asset backing standards aligned with traditional financial markets. FUIDL gives eligible investors access to an AAA-rated USD liquidity vehicle with hourly subscription and redemption windows and T+0* interest accrual, enabling same-day interest to be captured. The structure is also intended to facilitate efficient capital flows between conventional fiat markets and digital asset markets.

The underlying USD liquidity fund has been assigned the highest available ratings for money market funds by three major international rating agencies: AAAm from Standard & Poor's (S&P), Aaa-mf from Moody's and AAAmmf from Fitch. These ratings indicate the fund's status as an AAA-rated money market fund, according to the announcement.


How it works

Finloop will act as the tokenization agent, providing the technical and operational bridge that links traditional money market fund assets to blockchain settlement mechanics. The companies said the collaboration aims to combine the speed and transparency of digital assets with the operational and risk management standards institutional and professional investors expect from cash management products.

Bybit highlighted the integration of its ByCustody service with Finloop's tokenization stack as central to the project. That integration will serve as the foundation for piloting T+0 settlement for selected asset types, with plans to extend the capability globally throughout 2026.


Executive statements

Yoyee Wang, Global Head of TradFi and RWA of Bybit, said: "Partnering with Finloop marks a pivotal step in realizing our vision of The New Financial Platform. This collaboration turns that vision into action, merging institutional-grade trust with the efficiency of digital infrastructure of Bybit. By enabling same-day settlement and reinforcing custody standards, we’re not just improving transaction speed; we’re redefining what financial interoperability can look like."

Cai Hua, CEO of Finloop, commented: "This collaboration demonstrates how a wealth technology platform and a digital exchange can work together to achieve instantaneous settlement while meeting high operational and regulatory standards. We are proud to partner with Bybit on this milestone that sets new benchmarks for efficiency and trust in the digital asset space."


Operational features and scope

The FUIDL product is described as offering hourly subscriptions and redemptions for eligible investors, with same-day interest accrual noted as T+0 subject to actual fund arrival time. The collaboration will pilot same-day settlement across selected tokenized and digital instruments, leveraging Finloop's capabilities in real-world asset (RWA) tokenization and cash management together with Bybit's settlement and custody infrastructure.

The announcement frames the partnership as part of Bybit's broader strategic initiative to build what it calls The New Financial Platform - an open, secure bridge between traditional and digital finance intended to deliver faster settlement and institutional-grade operational practices.


Additional information and links

For details about FUIDL, the announcement provides the following references:

*The announcement notes that the T+0 interest accrual is subject to the actual fund arrival time.


About Bybit

Bybit describes itself as The New Financial Platform, aiming to connect users globally to financial opportunities through a single platform that encompasses investing, trading, payments, and wealth services. The company states it is trusted by more than 80 million users worldwide and emphasizes the use of AI-powered technology, deep liquidity, security, and transparent operations in its ecosystem.

Contact information in the announcement lists a media address ([email protected]) and a head of PR, Tony Au ([email protected]). The release also includes a regulatory disclaimer noting that Bybit and ByCustody are not licensed, approved or regulated by the Hong Kong Securities and Futures Commission and do not service Hong Kong residents.


Implications described by the partners

Both parties framed the collaboration as a step toward faster settlement and improved interoperability between traditional cash management products and blockchain-based settlement. The product is aimed at institutional and professional investors seeking an on-chain representation of high-quality USD liquidity with operational standards consistent with money market fund practices.

Risks

  • T+0 interest accrual and same-day settlement are described as subject to the actual fund arrival time, creating timing uncertainty for investors and treasury operations - impacting cash management and short-duration liquidity functions.
  • Bybit and ByCustody are not licensed, approved or regulated by the Hong Kong Securities and Futures Commission and do not service Hong Kong residents, which highlights regulatory limitations and geographic restrictions - relevant to compliance and market access for institutional participants.
  • The collaboration will pilot T+0 settlement for selected asset types with plans for a global rollout throughout 2026, indicating a phased implementation that may face operational or timing risks during expansion - affecting settlement reliability and institutional adoption timelines.

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