PANews reported on July 10 that according to DL News, DWF Labs CEO Andrei Grachev promised to announce the details of the $630 million crypto asset portfolio supporting the stablecoin USDf next week. The stablecoin was issued by Falcon Finance and was once decoupled to $0.992 on July 7. USDf uses crypto assets and trading profits to maintain its anchor. The official website shows that its $630 million reserves support the current 550 million circulating tokens, but 96% of the assets (US$607 million) are stored in off-chain custodians such as Binance, and only 4% can be verified on the chain.

Grachev revealed that 89% of the reserves are stablecoins and Bitcoin, and 11% are other cryptocurrencies. All assets are hedged through perpetual contracts. Currently, the auditing agency Harris & Trotter only publishes the amount of the custodian's holdings on a daily basis, and does not disclose the specific asset composition. Falcon said it is preparing an ISAE 3000 audit report, but the standard does not involve financial information audits. Critics question that USDf relies on illiquid assets, and concentrated selling may cause depreciation. LlamaRisk previously reported that Falcon has absolute control over reserve assets, and the market value of some collateral is too low, posing a liquidation risk. Grachev emphasized that USDf maintains anchoring through market neutral strategies and arbitrage mechanisms, and traders can conduct risk-free arbitrage when prices fluctuate.

According to previous news , Falcon Finance announced 116.98% over-collateralization of reserves in response to the de-anchoring situation.