1. Custody you can trust

Security begins at the custodial layer. Noon never keeps funds on exchanges or in unaudited wallets. Every deployed asset is secured, segregated, and verifiable on-chain.

Bespoke custody by deployment strategy

Noon is a unique stablecoin protocol, with an ever increasing number of deployment strategies. We cannot, therefore, deploy a homogenous, simplistic custody framwork - no, Noon requires a complex, bespoke custody framework, which incorporates customised custody solutions for each of its deployment strategies across CeFi, DeFi, and TradFi.

U.S. treasury bills [TradFi]

Our U.S. treasury bills are held by a licensed broker, Alpaca Securities, via our RWA partner, Dinari.

• Regulatory Compliance: Alpaca is a member of the Financial Industry Regulatory Authority (FINRA) and SIPC.

• Insurance Coverage: Alpaca maintains excess insurance coverage through Lloyd’s of London, supplementing SIPC protection.

This structure ensures that our holdings in tokenised Treasury Bills are secure and compliant with regulatory standards.

Funding rate arbitrage [CeFi]

All collateral deployed to the Funding Rate Arbitrage strategy is held off-exchange and settled via tri-partite settlement agreements, isolating funds from exchange-related risks.

We utilise established Web3 custodians like Ceffu, who manage billions in assets for top Web3 institutions globally, providing additional security and reliability.

CLOs [TradFi]

CLOs assets are custodied in an identical manner to U.S. Treasury Bills.

Private credit [TradFi]

Private Credit assets are custodied by the Private Credit Fund that we have deployed into. A substantial part of our Private Credit risk assessment focused on the credit-worthiness of the Fund, since they would be deploying as well as custodying our asset.

We selected Fasanara, in part due to their USD6b AUM and lengthy track record without incidents.

DeFi lending [DeFi]

Our DeFi lending positions are held via a secure, institutional grade MPC wallet, ForDefi. These positions are all visible on-chain, in our public wallet addresses as detailed in our Transparency page (here).

Yield-Trading: Principle Tokens (PT) [DeFi]

Yield-Trading: Principle Tokens (PT) assets are custodied in an identical manner to DeFi lending.

Looping [DeFi]

Looping assets are custodied in an identical manner to DeFi lending.

Future Deployment Strategies

All future deployment strategies will have asset custody and security as a core focus. We will only deploy funds when assets are secure and segregated. As a stablecoin, we recognise that even a single black-swan event in a self-custodial environment can cause irreparable harm. Noon’s approach mitigates this risk by prioritising secure, regulated custody at every stage.

Additional Resources

For more details on all deployment strategies, including Collateralised Loan Obligations (CLOs), Private Credit Funds, DeFi Lending, and Principal Tokens, visit our Deployment Strategies page.