USD.AI Raises $13M to Expand GPU-Backed Stablecoin Lending
Stablecoin protocol USD.AI has raised $13 million in a Series A round led by Framework Ventures, with Dragonfly and Arbitrum among the participants. Developed by Permian Labs, USD.AI offers GPU-backed stablecoin lending to emerging AI companies, issuing USDai (a dollar-pegged token) and sUSDai (a yield-bearing token) using graphics processing units as collateral. This GPU-backed stablecoin model reduces loan approval times by over 90% compared with traditional lenders. During its private beta, USD.AI secured more than $50 million in deposits and plans a public launch featuring an ICO and a game-based allocation model. CEO David Choi says the protocol “treats GPUs like commodities,” enabling fast, programmatic credit decisions. Framework’s Vance Spencer likens AI’s capital demand to an “oil boom,” highlighting the potential for democratized funding and yield generation tied to AI sector growth. The convergence of stablecoin infrastructure and AI-driven asset management could pave the way for autonomous, secure financial operations across DeFi and payment systems.
Bullish
The $13 million Series A raise led by Framework Ventures underscores strong investor confidence in on-chain GPU-backed stablecoin lending. Historically, substantial funding rounds in DeFi—such as MakerDAO’s $27 million seed round in 2019—have catalysed protocol adoption and market growth. In the short term, this news is likely to boost USDai trading volumes and attract yield-seeking capital, while Arbitrum’s involvement could drive positive attention to ARB. Over the long term, merging AI collateralization with stablecoin infrastructure may spur innovation in decentralized credit markets, solidifying demand for GPU-backed assets and supporting sustained sector expansion. Overall, the announcement is bullish for DeFi, AI financing solutions, and stablecoin markets.