On May 27, 2025, cryptocurrency exchange Bitget introduced a groundbreaking stable asset certificate named BGUSD, offering users a competitive 4% annual yield. This new financial product aims to redefine the concept of stablecoin utility by anchoring its value to tokenized real-world assets (RWAs), such as money market funds and U.S. Treasuries. With this launch, Bitget pushes the boundaries of decentralized finance (DeFi), merging the reliability of traditional finance with the agility and transparency of blockchain technology.
Key Features and Structure of BGUSD
BGUSD allows users to earn yields on their crypto holdings by holding a stable asset fully backed by low-risk, yield-generating instruments. Bitget enables the purchase of BGUSD using two leading stablecoins—USDC and Tether (USDT)—and ensures a 1:1 redemption ratio in USDC. The company credits yields daily to users’ spot accounts based on the minimum daily balance held in BGUSD.
To attract early adoption, Bitget offers a promotional 5% Annual Percentage Yield (APY) for the first 30 days. After the promotional period, BGUSD maintains a steady 4% APY, providing an appealing alternative to low-interest traditional bank savings accounts and volatile DeFi protocols.
Backing and Portfolio Composition
Bitget doesn’t rely on algorithmic structures or speculative backing to generate returns. Instead, it roots BGUSD in a diversified portfolio of high-quality tokenized real-world assets, emphasizing capital preservation and stable yield. These include:
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U.S. Treasury securities
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High-grade money market funds
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Tokenized investment products managed by institutional players like Superstate, which oversees the USTB tokenized treasury fund.
By diversifying across these instruments, Bitget creates a product that mimics the security and predictability of traditional investments while preserving the transparency and liquidity of crypto markets.
Institutional Partnerships and Compliance
Bitget doesn’t operate in isolation. The company collaborates with licensed and regulated financial institutions, ensuring BGUSD remains compliant with international financial standards. These partnerships also help manage risks associated with tokenized treasuries and enhance the credibility of BGUSD in both the crypto-native and institutional investor segments.
The inclusion of institutional-grade products and third-party custody mechanisms assures investors that Bitget prioritizes safety and accountability. These partnerships help bridge the longstanding trust gap between DeFi users and real-world financial institutions.
Integration Across Bitget’s Ecosystem
Bitget designed BGUSD to function beyond just a stable savings tool. Users can utilize BGUSD across the platform’s ecosystem for:
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Collateral for crypto loans
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Futures margin requirements
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Staking products like Launchpool and PoolX
This versatility turns BGUSD into a multi-functional financial tool, allowing investors to simultaneously earn yields and leverage their holdings for additional financial activities. The integrated utility increases the token’s stickiness within the Bitget platform and makes it a more attractive proposition for active traders and passive investors alike.
Instant and Flexible Redemption Options
Bitget emphasizes liquidity and user convenience by offering two redemption options for BGUSD:
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Instant Redemption – Users can redeem BGUSD immediately using Bitget’s reserve liquidity pool, ideal for users needing quick access to funds.
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Standard Redemption – Users can opt for redemptions that settle within three business days, useful for larger withdrawals or when liquidity constraints apply.
Both options incur a fixed 0.1% transaction fee, keeping costs transparent and predictable while contributing to the product’s long-term sustainability.
Yield Distribution and Calculations
Unlike many staking products that offer yields through token inflation or protocol subsidies, BGUSD yields derive directly from interest accrued by the underlying assets. Bitget calculates the daily returns based on users’ minimum daily balances, ensuring fairness and simplicity. This structure mirrors traditional banking interest models but delivers significantly better returns in a blockchain-native environment.
The daily yield crediting also encourages users to hold BGUSD longer, as they see consistent and measurable gains each day, reinforcing confidence and increasing user retention on the Bitget platform.
Bitget’s Strategic Vision
With the introduction of BGUSD, Bitget executes its broader strategy to lead the convergence of real-world finance and blockchain innovation. Bitget CEO Gracy Chen emphasized this vision in a recent statement:
“With BGUSD, we are delivering a solution that bridges the best of both worlds: the transparency and innovation of crypto with the stability and yield opportunities traditionally found in real-world assets.”
Chen’s words reflect Bitget’s commitment to evolving beyond a trading platform into a holistic financial ecosystem. By embedding RWAs into the crypto narrative, Bitget addresses some of the most pressing concerns in the market today—volatility, limited real-world utility, and lack of yield-bearing stable assets.
Competitive Position in the Stablecoin Market
The launch of BGUSD arrives at a pivotal moment in the stablecoin industry. While giants like USDC, USDT, and DAI dominate the space, they offer minimal to no yield and often leave capital idle. Bitget seizes this opportunity by offering a compliant, yield-generating alternative that maintains the convenience of a stablecoin while adding income generation as a core function.
In a landscape increasingly shaped by real-world asset tokenization, BGUSD offers a rare blend of security, flexibility, and profitability. This strategic positioning enables Bitget to attract both DeFi-native investors seeking yields and traditional finance users seeking safe exposure to digital assets.
Challenges and Outlook
Despite its promising features, BGUSD faces several challenges:
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Market competition from other yield-bearing stablecoins or staking derivatives.
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Regulatory scrutiny, especially from jurisdictions wary of tokenized securities or interest-bearing crypto products.
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Liquidity management, as redemptions scale with adoption.
Bitget must maintain transparency, regular audits, and regulatory compliance to ensure long-term sustainability and trust. By continuously expanding its partnerships with licensed institutions and improving on-chain asset visibility, Bitget can strengthen BGUSD’s credibility and market share.
Conclusion: Bridging Traditional and Decentralized Finance
Bitget’s launch of BGUSD marks a milestone in the evolution of stable digital finance. The product not only generates stable passive income but also leverages tokenized real-world assets to offer real economic value in a market often dominated by speculative tools. It stands as a testament to Bitget’s belief that the future of finance lies in bridging conventional assets with blockchain capabilities.
By offering liquidity, transparency, daily yields, and broad utility, BGUSD sets a new benchmark for what stablecoins can achieve. As tokenization becomes the next frontier in crypto, Bitget positions itself ahead of the curve—delivering tools that not only retain value but help users grow it in a stable and secure environment.
