Frax Finance is backing CUSD, a new privacy-focused stablecoin, on the Canton Network. The stablecoin is issued by Send, the dominant wallet on Canton, which serves over 30% of the network's users.

This initiative is a three-part collaboration. Brale provides the technical infrastructure for stablecoin issuance, Send offers the distribution and user base, and Frax Finance's frxUSD provides the yield-bearing backing. This structure is designed to return maximum value to the CUSD ecosystem, with all revenue directed towards purchasing the Canton Network's native asset.

The partnership aims to enhance the stablecoin ecosystem on Canton, a Layer 1 blockchain designed for institutional privacy. By leveraging Send's user-friendly features like passkey signups and gas abstraction, CUSD is positioned to become the primary stablecoin on the network. Frax Finance has also deepened its involvement by becoming a network validator.

This launch represents the first of several planned stablecoins under the Brale partnership model. It signals a strategy to create ecosystem-aligned, yield-generating stablecoins that leverage the distribution of existing applications.