Falcon Finance Publishes Audit Report Verifying Full USDf Backing

TL;DR

• Audit confirmation: Harris and Trotter LLP verified that USDf reserves not only cover but also exceed liabilities, reinforcing trust in Falcon Finance’s stablecoin model and transparency standards.
• Reserves and yields: Falcon Finance reported $1.96B in reserves, with sUSDf holders earning 10.06% annual dividends, supported by a $10M insurance fund and diversified assets across stablecoins, BTC, ETH, and others.
• Ecosystem growth: The launch of the $FF token and Falcon Miles rewards program expands governance, incentivizes staking, and strengthens long‑term community participation.
  

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Falcon Finance has released its first Independent Quarterly Audit Report, confirming that its USDf stablecoin is fully backed by reserves exceeding liabilities. Conducted by Harris and Trotter LLP under ISAE 3000 standards, the review strengthens confidence in Falcon’s transparency and reserve management. The findings highlight a diversified reserve base, a robust staking model, and the launch of Falcon’s $FF token to expand governance and ecosystem participation.

Independent Audit Confirms USDf Reserves

The audit verified that all USDf tokens are supported by segregated reserves held on behalf of users. Harris and Trotter LLP confirmed sufficiency across deposits, collateral valuation, and wallet ownership. While USDf is not fully collateralized, it is backed by a diversified reserve base designed for resilience. The report also noted that Falcon’s reserves exceeded liabilities, reinforcing the stablecoin’s credibility.

Transparency Dashboard and Market Data

Falcon Finance’s Transparency Dashboard reported $1.96 billion in USDf reserves and 126.75 million in sUSDf. The protocol’s backing ratios stand at 103.87% for USDf and 6.46% for sUSDf. USDf maintains a $1 peg with a 1.89 billion circulating supply, while sUSDf trades at $1.0682 with a 729.84 million supply. Holders of sUSDf earn a 10.06% annual dividend, supported by a $10 million insurance fund. Current USDf price is $0.9988, with daily trading volume of $34.67 million.

Security and Reserve Composition

Falcon’s reserves include $666.599 million in stablecoins, $1.002 billion in Bitcoin and Wrapped Bitcoin, and smaller allocations in Ethereum, SOL, DOGE, and other assets. A March 2025 audit by Zellic confirmed the security of Falcon’s smart contracts, ensuring tokens are properly distributed through staking contracts. Falcon emphasized that valuations are based on collateral amounts and CoinGecko pricing data, with market swings potentially affecting asset values.

Ecosystem Expansion with $FF Token

On September 19, 2025, Falcon Finance announced the launch of its $FF token and the creation of the FF Foundation. The token will serve as the ecosystem’s governance and utility asset, granting holders voting rights and yield opportunities in USDf. Falcon Miles, a rewards program, will incentivize community participation through staking, minting, and engagement activities, further strengthening the protocol’s user base.