Coinbase launched the Stablecoin Credit Strategy, or CUSHY, for qualified investors and institutions. The product uses stablecoins to access public, private, and opportunistic credit markets. It matters because stablecoin revenue already generated over $1.3 billion for Coinbase last year.
Product Mechanics
CUSHY runs on Base, Solana, and Ethereum networks. Superstate's FundOS handles the platform while Northern Trust acts as fund administrator. Coinbase Prime provides prime services for the strategy. No public availability exists yet.
The $33 Trillion Question
Stablecoins processed $33 trillion in transaction volume during 2025 according to Coinbase's data. But McKinsey and Artemis peg actual payment activity at just $390 billion. The BIS confirms most volume involves trading and internal transfers, not real-economy use. Only $8 billion flowed through capital markets settlements last year.
Liquidity Illusion
Blockchain's speed doesn't fix underlying issues with credit assets. Tokenized products face a liquidity paradox where transfer efficiency masks the illiquidity and opacity of private credit. The Federal Reserve recently flagged this opaque risk in a $36 billion drawdown.
Tokenized Assets Gain Traction
Real-world asset tokenization keeps growing. BCG reports tokenized US Treasuries hit $13.6 billion by April 2026. RWA.xyz shows tokenized credit products now represent $21.2 billion in value with $5 billion distributed. That's a 5.5% jump in one month.
CUSHY arrives as stablecoin revenue accounted for 41% of Coinbase's total net revenue in 2025. The strategy will test whether blockchain can crack the opacity that has long plagued private credit markets. Its real-world performance over the next quarter will determine if this becomes more than a trading vehicle.
