Mantle expands RWA yield offering from CeFi to DeFi

Mantle has expanded its real-world asset yield business into DeFi with a non-custodial stablecoin vault after its Bybit-based product crossed $200 million in assets under management.

According to Mantle’s Aug. 25 X thread, the new product is available through Fluxion and combines infrastructure from CIAN and Grove to give stablecoin holders direct access to an onchain yield strategy.

The launch takes a product previously distributed through the centralized exchange Bybit and places a related version inside Mantle’s DeFi network. Users deposit USDC or USDT0 through Fluxion while keeping control of their assets, removing the need to hand funds to a centralized custodian.

Mantle said the vault uses a conservative, non-leveraged structure created by CIAN, the same protocol that helped build the original Bybit product. Grove connects the vault to yield generated through the Sky ecosystem, while Fluxion manages the interface through which users enter the strategy.

Mantle Vault uses sUSDS as its yield source

Deposited stablecoins gain exposure to the yield earned by sUSDS, the savings version of Sky’s USDS stablecoin. Sky sets the applicable savings rate through governance, meaning the underlying return can change rather than remaining fixed for the life of a deposit.

Mantle described Grove’s role as connecting the vault to Sky’s Savings Rate and a set of governance-approved strategies. Grove operates within the Sky ecosystem and routes USDS liquidity into credit strategies through non-custodial vault infrastructure.

“Grove connects the vault to Sky’s Savings Rate, providing stablecoin deposits exposure to yield generated from diversified, governance-approved strategies,” Mantle said.

An Aug. 6 RWA deposit report from crypto.news found that sUSDS supply stood at 4.61 billion while its savings rate was 3.52% at the time of review. Sky states that governance can change the rate, so depositors should not treat either the underlying return or the vault’s advertised APY as permanent.

Mantle’s launch materials list a target APY of up to 6.5%. The campaign also includes Fluxion Points and 5.14 million GROVE tokens, adding promotional rewards above the return generated by the underlying strategy. Neither the points nor the token allocation represents a fixed cash return, and the value received by each depositor can depend on campaign rules, participation, and token prices.

CIAN packages the strategy inside the vault, allowing its positions and transactions to remain visible onchain. Mantle said the product does not use leverage, limiting one source of liquidation risk, though users remain exposed to smart-contract failures, stablecoin price movements, liquidity conditions and changes to Sky’s governance-set rate.

The DeFi vault changes how users access the strategy

On Bybit, customers could enter Mantle Vault through the exchange without directly managing the strategy onchain. Bybit, Mantle and CIAN launched that version in December 2025, allowing users to deposit USDC or USDT through Bybit Earn while the assets moved into Mantle-based yield strategies.

The product later passed $200 million in assets under management. In its latest announcement, Mantle described the amount as evidence that the CeFi distribution model had attracted deposits before the team introduced a self-custodial route.

Through Fluxion, users now interact with smart contracts rather than relying on an exchange account to hold and deploy their stablecoins. Mantle summarized the difference by saying CIAN used the same type of construction for the new product, “except now, you keep your keys.”

Self-custody changes the party responsible for controlling the wallet but does not remove the risks attached to the underlying protocols. Depositors must manage their own keys and approve the required smart-contract transactions, while the strategy still depends on CIAN’s vault design, Fluxion’s interface, Grove’s infrastructure and Sky’s savings system.

The launch currently identifies USDC and USDT0 as the supported deposit assets. USDT0 is an omnichain version of Tether’s dollar token designed to move between supported networks, making it different from depositing standard USDT directly into the vault.

Mantle’s RWA activity has grown during 2026

The DeFi product follows an increase in tokenized assets and stablecoin liquidity across Mantle. In recent Mantle coverage, Nansen data showed that the network’s total DeFi value locked had exceeded $1 billion after growing 230% during the first half of 2026.

The same report placed RWA-focused DeFi TVL above $90 million and Mantle Vault assets above $200 million. Mantle’s stablecoin market capitalization reached $955 million, representing 120% year-over-year growth, according to Nansen.

Earlier figures supplied with the latest launch placed Mantle’s RWA TVL at $257 million, up from $22 million during the year, while total DeFi TVL exceeded $755 million. Differences between the figures can result from measurement dates and from the categories included by individual data providers.

Mantle has also added tokenized equity products to its network. Nansen counted 155 tokenized equities at the end of June, compared with 10 in April, including instruments linked to SpaceX and Franklin Templeton’s U.S. Equity Index ETF.

Tokenized products that track companies or funds do not automatically provide direct ownership, voting rights, or other protections attached to the underlying security. Eligibility also depends on the issuer, distributor, and jurisdiction, even when a blockchain product can technically be reached from any location.

U.S. rules leave stablecoin yield under scrutiny

For American users, the vault’s availability depends on Fluxion’s terms, wallet restrictions, and applicable federal and state rules. Mantle’s statement about access without geographical limits does not establish that every product or incentive can legally be offered to every U.S. resident.

The distinction between stablecoin issuer payments and returns earned through an external DeFi strategy is also relevant in the United States. The GENIUS Act prevents payment stablecoin issuers from directly paying interest or yield to holders, while reward arrangements offered by exchanges, brokers, and DeFi platforms have remained part of the congressional debate.

Citigroup CEO Jane Fraser said in August that third-party stablecoin rewards could draw deposits away from banks, according to a report on the stablecoin rewards debate. Banking groups have asked Congress to restrict such programs, while crypto companies have argued that externally generated returns differ from interest paid by a payment stablecoin issuer.

The latest CLARITY Act language would prohibit passive yield on stablecoin balances while allowing certain activity-based rewards connected to payments, transfers or platform use. Mantle and its partners have described the new vault’s return as strategy-generated yield from sUSDS, with Fluxion Points and GROVE tokens added as separate incentives.