Crypto wallet Exodus adds Bitcoin-backed stablecoin Sovryn Dollar to balance sheet

Companies • June 26, 2023, 9:31AM EDT

Quick Take

Crypto wallet provider Exodus has added the Sovryn Dollar (DLLR) to its corporate treasury.

Exodus Movement Inc., a crypto wallet provider, has added Bitcoin-backed stablecoin Sovryn Dollar (DLLR) to its balance sheet.

The initial allocation in DLLR represents around 25% of Exodus's quarterly interest income, the company said in an announcement shared with The Block, without specifying a dollar figure.

The addition of DLLR to its corporate treasury will help Exodus access operational funds continuously without depending on banking services, according to JP Richardson, co-founder and CEO of Exodus.

"Our treasury allocation is a step towards a new era of financial control and self-custody," Richardson said in the statement. "Besides taking its place on our corporate balance sheet, the Sovryn Dollar asset will soon be available to all of Exodus' users across Desktop, Mobile, and our Web3 Wallet."

Exodus was founded in 2015 and provides a multi-chain crypto software wallet. It claims to have around 4 million users. As for Sovryn Dollar, it is issued by the Mynt protocol and backed by bitcoin. "The Mynt protocol aggregates multiple bitcoin-backed stablecoins to issue an ultra-bitcoin-backed stablecoin," reads Sovryn's website. "You can exchange DLLR for the equivalent USD market value of bitcoin at any time.

Specifically, DLLR is currently backed by ZUSD and Money On Chain DOC, according to Sovryn's website. "Each individual stablecoin has its own peg mechanism. ZUSD can be redeemed by any holder for the equivalent USD value in BTC. Borrowers can obtain ZUSD for as little as 110% of USD value in BTC. DOC is overcollateralized by BTC, and the system maintains a balance of supply to keep the value at 100% of USD," per the website.

DLLR also acts as the default stablecoin of the Sovryn DeFi ecosystem for several use cases, including trading and lending.

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Yogita Khatri is a senior reporter at The Block, covering all things crypto. As one of the earliest team members, Yogita has played a pivotal role in breaking numerous stories, exclusives and scoops. With nearly 3,000 articles under her belt, Yogita holds the records as The Block's most-published and most-read author of all time. Prior to joining The Block, Yogita worked at crypto publication CoinDesk and The Economic Times, where she wrote on personal finance. To contact her, email: [email protected]. For her latest work, follow her on X @Yogita_Khatri5.