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Fiat-backed Market cap $3.0B

First Digital (FDUSD)

Hong Kong trust-issued stablecoin; Binance's primary listing post-BUSD

Issued by First Digital Trust (Hong Kong) · founded 2023 · Hong Kong

SK
Reviewed by Stephan Kulik · Last updated: · How we rank

⚠ Not financial advice

Stablecoin issuer disclosures, reserves composition, regulatory status, and redemption mechanics change continually. This page is reference information, not investment advice. Verify current attestations directly at the issuer's transparency page (https://firstdigitallabs.com/transparency) before allocating capital.

Verdict

FDUSD launched June 2023 as Binance's replacement for BUSD following Paxos's BUSD discontinuation. First Digital Trust is a Hong Kong-regulated trust company; reserves are held in segregated client accounts. Monthly attestation. The concentration risk is real: FDUSD is heavily tied to Binance's preference as the on-exchange stablecoin; if Binance reroutes to a different stablecoin (as it did from BUSD to FDUSD), FDUSD's market cap would compress materially.

Peg mechanism

Fiat-backed. Cash + Treasury bills; held in segregated client accounts at the Hong Kong trust

Reserves + attestation

  • Composition: Cash + Treasury bills; held in segregated client accounts at the Hong Kong trust
  • Attestation firm: Prescient Assurance (Hong Kong)
  • Cadence: monthly
  • Transparency page: https://firstdigitallabs.com/transparency

Regulatory status

Hong Kong-regulated trust company. First Digital Trust holds the appropriate Hong Kong trust-company authorisation.

Badges: Hong Kong Trust Company · Monthly Attestation · Segregated Client Accounts

Key features

  • Hong Kong regulated trust framework
  • Monthly reserves attestation
  • Binance's primary on-exchange USD stablecoin pair (post-BUSD)
  • Native issuance on Ethereum + BNB Chain

Pros

  • Hong Kong trust company framework is well-developed
  • Monthly attestation cadence
  • Strong on-exchange liquidity via Binance partnership

Cons

  • Heavy concentration on Binance partnership — single-exchange dependency
  • Limited operating history (2023-)
  • Hong Kong regulatory framework offers different recourse than US/EU customer-protection regimes
  • Smaller market cap than USDT/USDC; narrower off-Binance availability

Historical incidents

  • 2026-04-02: FDUSD briefly depegged to ~$0.87 on April 2, 2026 after Justin Sun (Tron) publicly alleged First Digital Trust was insolvent on X. First Digital denied the accusations and published a reserve attestation demonstrating full backing. FDUSD returned to ~$1.00 within 48 hours. The incident highlighted the counterparty risk of smaller fiat-backed issuers and the impact of social-media rumor on smaller stablecoin pegs.

Market context

  • Market cap: $3.0B (2026-05-28)
  • Issuer entity: First Digital Trust (Hong Kong)
  • HQ: Hong Kong
  • Founded: 2023
  • Token ticker: FDUSD

Compare with

  • Circle (USDC) — Most-regulated major dollar stablecoin; only major fiat-backed stablecoin currently MiCA-compliant
  • Tether (USDT) — Largest stablecoin by market cap; deepest global liquidity; NOT MiCA-compliant

Risk + safety analysis

For the full risk-factor breakdown including verdict tone, regulatory-status cards, historical-incidents timeline, and risk-class scoring, see Is FDUSD safe? — risk + safety analysis.

Where to read further

See all 8 stablecoin issuers ranked for the full comparison, MiCA-licensed crypto banks for the operator-side EU framework, and our full crypto-banks ranking for the platforms where stablecoins are actually held + transacted.

Disclaimer

This page is general information, not financial, investment, or legal advice. Stablecoin issuer disclosures, reserves composition, regulatory status, and redemption mechanics change continually; always verify directly with the issuer before allocating capital. See terms.

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