Osero, a stable yield infrastructure project incubated by Stablewatch and Soter Labs, raised $13.5 million in a round led by Sky Ecosystem and co-led by Plasma.
The round included angel investors representing USDT0, Maple, Accountable, Four Pillars, RedStone, The Rollup and Kairos Research, according to an announcement.
Stablecoins have reached over $300 billion, according to data from DeFiLlama. Most of the return on assets backing these stablecoins still goes to issuers like Circle and Tether, leaving holders without direct returns and fintech companies with limited ways to offer stablecoin savings products without managing the assets themselves.
Osero launches three products. Osero Earn which allows wallets, neobanks, custodians and exchanges to integrate the Sky Savings Rate into their own interfaces. Osero App, which gives users direct access to the rate across chains, and Osero Foundry, which provides asset managers and structured product issuers a way to introduce yield products on-chain.
Osero Earn is supposed to be integrated with about 10 lines of code, according to the company. The product routes deposits to the Sky Savings Rate while Osero manages the underlying asset management, routing and risk infrastructure.
Osero Foundry will provide up to $2.5 billion in allocation capacity for core funding, swap liquidity and loan liquidity. Each deployment will be subject to a Basel III-inspired risk review, Osero said.
The $13.5 million increase will fund capital requirements for Osero’s first allocations to the smelter. The capital will be used to secure the first cohort of deployments under the risk framework used for the Sky Protocol evaluation process.
Sky, formerly MakerDAO, has expanded its balance sheet and distribution network around USDS and sUSDS. Sky received a B- rating from S&P last year, in the first credit rating given by the agency to a DeFi protocol.
Projects supported by Sky have also transformed into yield-generating real asset products. Obex said in March it was splitting $1 billion across credit, energy and AI assets to boost stablecoin yield.
Plasma, which co-led the round, is building a blockchain focused on stablecoins. Its token sale raised $373 million last year in an oversubscribed sale.
