FinChain, the blockchain finance platform under Fosun Wealth Holdings, has launched FUSD, a yield-bearing stablecoin backed by real-world financial assets, with Avalanche selected as its primary launch network.
Announced in Hong Kong on February 10, 2026, the move places Avalanche at the center of a new push to bring regulated, institutional-grade capital from Asia onto public blockchains.
FUSD is positioned as Asia’s first yield-bearing real-world asset (RWA) stable token designed specifically for institutional use. Unlike conventional stablecoins that hold idle reserves, FUSD is backed by compliant, income-generating instruments such as money market funds and government-linked assets, allowing holders to earn native yield while retaining full liquidity.
The token is issued through Fosun Wealth’s Web3 platform and targets financial institutions, crypto-native firms, family offices, private equity funds, and pension managers that require regulatory clarity, transparency, and fast settlement.
Key Takeaways
- FinChain has launched FUSD on Avalanche as Asia’s first yield-bearing, RWA-backed stablecoin built specifically for regulated institutional investors.
- FUSD generates native yield from compliant assets such as money market funds while remaining fully liquid and usable across DeFi applications.
- Avalanche was selected for its fast finality, deep DeFi liquidity, and compliance-friendly architecture suited to institutional financial products.
- The initiative strengthens Avalanche’s growing role as infrastructure for large-scale, regulated real-world asset tokenization in Asia.
A Stablecoin Designed to Pay Yield
FUSD’s underlying reserves include high-liquidity money market funds from established asset managers such as ChinaAMC and Taikang Asset Management (Hong Kong). By passing through returns generated by these instruments, FUSD is structured to function as a cash-management tool rather than a passive store of value.
This approach allows institutions to deploy capital on-chain without forgoing yield, while still using FUSD across decentralized finance markets for lending, trading, and collateral purposes. The design also supports multi-chain interoperability, positioning FUSD as a portable liquidity instrument rather than one confined to a single ecosystem.
Speaking on the launch, FinChain CEO Zhao Chen framed FUSD as a bridge between traditional finance and on-chain markets:
“FUSD aims to serve as a bridge connecting Web2 standardized financial assets with the Web3 crypto-financial world. The launch of FUSD will provide public blockchains, exchanges, and asset managers with an unprecedented yield-bearing stable token.”
Why Avalanche Was Chosen
FinChain selected Avalanche’s C-Chain as FUSD’s primary liquidity hub, citing its performance, compliance tooling, and suitability for regulated products. Avalanche offers sub-second transaction finality, enabling near-instant settlement cycles that are critical for professional treasury and liquidity operations.
Beyond speed, Avalanche’s architecture supports permissioning and compliance features that can be adapted to different regulatory environments. This flexibility is particularly relevant for Asian markets, where cross-border financial products must operate under varying legal frameworks.
The network’s established DeFi liquidity also allows FUSD to integrate directly into existing on-chain markets, giving the stablecoin immediate utility rather than limiting it to custody or settlement use cases.
“Avalanche has become preferred infrastructure for global financial institutions,” said Jacky Kong, Head of Ava Labs Hong Kong. Commenting on the partnership, he added:
“Through FUSD, we will provide real financial assets in Asia with broader liquidity and collaboration opportunities within the Avalanche ecosystem and across global financial markets. This initiative enables more traditional financial assets to seamlessly enter the blockchain world.”
Building Institutional RWA Rails in Asia
The FUSD launch forms part of a broader strategic initiative by Fosun Wealth Holdings to scale institutional-grade RWAs on-chain. FinChain plans to deploy its wider stack, including the FinCoin Protocol, on Avalanche to support end-to-end issuance, trading, and collateralization of tokenized financial assets.
On February 10, FinChain hosted the “2026 Asia Crypto Finance High-Level Closed-Door Forum” in Hong Kong, where the initiative with Avalanche was formally established.
The company said the collaboration is intended to unlock tens of billions of dollars from traditional financial channels by standardizing how regulated assets are represented and moved on-chain.
FinChain is also focusing on compliant cross-chain connectivity, with FUSD positioned as a foundational anchor asset for verifiable total value locked across multiple blockchain networks.
Avalanche’s Growing Institutional Footprint
Avalanche has already attracted significant institutional activity, hosting over $1.2 billion in on-chain total value locked tied to RWAs. Existing deployments include tokenized products such as BlackRock’s BUIDL fund and Apollo’s ACRED, involving institutions like JPMorgan, Citi, and BlackRock.
The addition of FUSD strengthens Avalanche’s position as infrastructure for regulated on-chain finance, particularly in Asia. With initiatives already underway in markets such as Japan and South Korea, the Hong Kong launch further anchors Avalanche’s role in the region’s institutional tokenization efforts.
As institutional demand for tokenized finance accelerates, the FinChain-Avalanche collaboration signals a shift toward stablecoins that do more than maintain a peg. By combining yield-bearing real-world assets with public blockchain settlement, FUSD represents a new category of regulated, income-generating on-chain liquidity tailored for professional capital.
