The Battle of the Synthetic Dollar Race: TVL, Revenue Engine, and Falcon's Leading Advantage 1/Introduction @Falconstable has recently opened to the public, injecting new vitality into the field of synthetic dollars. The competition in the field of synthetic stablecoins and large-scale wealth management is fierce, with almost 100 projects preparing to enter this arena And almost every project team that dares to do this track has a top-notch background, which makes people's eyes dazzled With the latest Falcon on the table, let's compare and analyze this track horizontally. According to @ DefiLlama data, the total lock up volume (TVL) of stablecoins in Falcon and the entire field has reached $236 billion, with an annualized growth rate of 47%. However, Falcon's growth rate is even more astonishing. Most synthetic dollar protocols take several months to lock in the first $100 million, and Falcon achieved this goal in less than a month after its closed beta launch, demonstrating strong growth momentum. The transfer volume of synthetic US dollars is rapidly increasing, with the cumulative transfer volume of leading agreements growing by about 20% daily. Falcon is clearly superior to its peers in this aspect, with a cumulative transfer volume of over 300 million US dollars in just 60 days of launch, far ahead of its competitors and taking an already competitive track to new heights. Yield generation strategy for synthesizing US dollars and interest bearing stablecoins (yield engine) Main revenue streams of the agreement Falcon USDf → sUSDf • Positive fund rate arbitrage<br>• Negative fund rate arbitrage<br>• Cross exchange price arbitrage<br>• Proto staking<br>• Liquidity provision Ethena USDe → sUSDe • Forward fund rate arbitrage<br>• ETH/LST staking Resolv USR → wstUSR • Forward funding rate arbitrage<br>• ETH/LST staking Usual USD0 → USD0++• Tokenized US treasury bond+RWA<br>• DeFi lending/liquidity mining<br>• Pledge enhancement Lybra eUSD • Pure LST compound yield (stETH ➜ eUSD) Although synthesizing stablecoins, it is a project in the field of large-scale wealth management. Often exaggerating one's profit engine. In fact, the means of capturing profits are often very single. Still playing with token economics models. Most synthetic dollar agreements rely on only one or two means, as shown in the figure. Falcon combines four Delta neutral strategies (positive and negative funding rates, cross exchange spreads, and pure staking), so it can continuously capture returns regardless of market fluctuations, providing users with a more stable and reliable source of returns. And the more subtle liquidity provision strategy discussed here is actually taking out DWF's main market making business to distribute dividends to everyone! Give me a feeling of the new era of BNB, as the dividend mechanism of BNB is also very opaque. It is impossible to directly distribute dividends from Binance's main business. But Falcon did it today. Flexibility of collateral Protocol synthesis of US dollars and stablecoin supported minting/exchange collateral Falcon • stablecoins: USDT, USDC, USD1, DAI, USDS<br>• blue chip coins: BTC, WBTC, ETH<br>• altcoins: SOL, TON, XRP, NEAR, TRX, EOS, POL, FET, COTI, DEXE, BEAMX, MOVE Ethena • Stablecoins: USDT, USDC, USDS, ENA, sENA, USDtb, DAI Resolv • Stablecoins: USDT, USDC, DAI, USDe Usual • stablecoins: USDT, USDC, DAI, USDS<br>• blue chip coins: BTC, WBTC, ETH<br>• altcoins: SOL, NEAR, FET, COTI, UNI, MKR, CRV, LINK<br> Lybra • Stablecoins: ETH, stETH, rETH, swETH, WBETH Most synthetic dollar agreements only support stablecoins or a few blue chip coins as collateral for minting/exchanging. Falcon and Usual are almost open to all mainstream stablecoins, blue chip coins, and even high liquidity altcoins, thereby releasing more US dollar liquidity (and leverage) from user asset portfolios. The flexibility of this collateral provides users with more choices, allowing them to flexibly choose collateral based on their asset status and investment preferences, thereby more effectively utilizing assets to generate returns and gaining an advantage in market competition. Pendle LP Incentive Protocol Protocol LP Interest Generating Token LP Revenue (as of 25/4/2025) Falcon LP-sUSDf 49.02% Usual LP-USD0++ 21.80% Resolv LP-wstUSR 8.29% Ethena LP-sUSDe 5.34% Although the synthetic US dollar returns fluctuate with market cycles, @ Pendlefi allows users to trade or lock in these interest rates by splitting assets into YT (returns) and PT (principal). Providing liquidity for these tokens typically outperforms the underlying APY, and Falcon's sUSDf pool is currently the highest yielding option. This means that users have a higher chance of obtaining returns beyond the average level when choosing Falcon's sUSDf pool for liquidity provision, further enhancing Falcon's competitiveness in the synthetic dollar track and making it one of the preferred choices for investors pursuing high returns.