RWA protocol stUSDT winds down three years after $2.3B TVL peak
Real-world asset protocol stUSDT has begun winding down operations, nearly three years after reaching a $2.3 billion total value locked (TVL), ending rewards and opening a six-month redemption window for tokenholders.
The stUSDT team did not disclose a reason for winding down the RWA protocol but assured holders that all underlying assets remain fully backed. Interest accrual on stUSDT ended on Saturday, with holders of stUSDT and its wrapped version, wstUSDT, able to redeem through its official portal until May 14, 2027.
Requests submitted after the deadline will be handled through customer support in monthly batches through August 2027. Holders with tokens on exchanges or DeFi platforms must transfer them to personal wallets before redeeming.
Market Response
JustLend DAO said it would phase out supply and borrowing functions for its wstUSDT market as part of the transition. According to DefiLlama data, stUSDT's TVL peaked at about $2.3 billion in November 2023 before declining substantially in subsequent years.
It stood at about $8.6 million on Sunday, down from roughly $60 million a year earlier. Despite its name, stUSDT is not affiliated with stablecoin issuer Tether, which denied any affiliation with stUSDT in September 2023.
Protocol Background
Launched in July 2023 on Tron, stUSDT allowed users to deposit USDT and earn yields from investments in real-world assets, including short-term government bonds. The protocol later expanded to Ethereum.
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