SoFi launches tokenized bank deposit paying 4.4% interest
DeFi & Yields ·
The bank-fintech introduced SOFIE, a token backed one-to-one by insured deposits, aimed at digital dollars sitting unused in crypto wallets.
SoFi has rolled out SoFi Earn, a token trading under the ticker SOFIE that it describes as the first nationally chartered bank's tokenized deposit built for everyday customers, according to Decrypt. Every token corresponds to $1 held at SoFi Bank, and holders collect 4.40% APY while the underlying funds carry FDIC coverage up to standard limits, a feature typical stablecoins don't offer.
Customers can swap SOFIE for SoFiUSD, SoFi's own stablecoin, at a fixed one-to-one rate whenever they want to spend or trade, letting them move dollars on-chain or purchase crypto through SoFi's app at any hour. The design is meant to address money that would otherwise sit idle: SoFi pointed to Federal Reserve research suggesting about $64 billion, close to 21% of total stablecoin supply, remains parked in dormant or forgotten wallets rather than earning anything.
CEO Anthony Noto framed the launch as a way to merge the protections of traditional deposits with the mobility of tokenized assets, saying too much digital-dollar value currently generates no return. The Block likewise described the offering as an FDIC-insured tokenized deposit product intended to connect conventional banking with blockchain-based finance.
SOFIE marks the fifth crypto-related release from SoFi within roughly a year, following the bank's return to crypto trading late in 2025, when it became the first nationally chartered U.S. bank to let retail customers trade digital assets, now covering more than 40 tokens. It also builds on SoFiUSD, issued across Ethereum and Solana and already used to settle SoFi's card transactions through Mastercard's network, alongside earlier moves into business banking for digital assets and a stablecoin partnership with Kraken.
What remains unclear is how quickly customers will adopt the deposit-to-stablecoin conversion in practice and whether the yield or insurance terms could shift as SoFi scales the product. The company has not detailed deposit limits or long-term rate commitments beyond the initial 4.40% APY figure.