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First Digital USD (FDUSD) Review

Bankruptcy-segregated reserves in a Hong Kong trust

of 10

FDUSD reserves are custodied by First Digital Trust Limited, a Hong Kong registered trust company, fully segregated from the trust's own assets so they survive its insolvency. The issuing entity is BVI-registered, and attestations are monthly.

No money changes hands. This is a non-commercial project: no advertising, no sponsored placements, and no affiliate or referral links. Links to the services below earn us nothing. Every overall score is the plain average of the criteria shown on the page, so you can check the arithmetic yourself — see our rating methodology and how the site is funded.

Issuer

FD121 (BVI) Limited

Custodian

First Digital Trust Limited, Hong Kong

Segregation

Reserves segregated to isolate the trust company's bankruptcy

Backing

Cash, very short-dated US T-bills, overnight reverse repos

Attestation

Monthly, independent

Scores

Reserve transparency
8.0
Regulatory oversight
6.0
Redemption rights
6.0
Custody & segregation
9.0
Backing model clarity
8.0

Each criterion carries equal weight. The overall score is the average of these 5 scores — (8.0 + 6.0 + 6.0 + 9.0 + 8.0) ÷ 5 = 7.4.

Pros

  • Reserve assets fully segregated from the trust company's own assets to isolate its bankruptcy
  • Custodian is a registered trust company under Hong Kong's Trustee Ordinance
  • Reserves in cash, very short-dated US T-bills and overnight reverse repos
  • Independent attestation reports published monthly

Cons

  • The issuing entity is BVI-registered, a lighter regime than a US or Singapore charter
  • No named prudential regulator supervises the issuer itself, only the custodian's trust licence
  • Retail redemption terms are not set out on the pages we checked
  • The attesting firm is not named

Segregation done properly

Reserve assets are custodied by First Digital Trust Limited, a licensed Trust or Company Service Provider and registered trust company under Hong Kong's Trustee Ordinance, with assets fully segregated from the trust company's own so that its insolvency does not reach them. That is the specific legal protection this criterion exists to identify, and FDUSD documents it clearly.

The issuer sits offshore

The issuing entity is BVI-registered. Segregated custody in Hong Kong is a real protection, but it is not the same as the issuer itself being supervised by a named prudential regulator, which is what NYDFS, the OCC and MAS provide elsewhere in this list.

Reserve composition

Cash, a basket of very short-dated US Treasury bills and overnight reverse repos — short duration by design, though the attesting firm is not named.

How it compares

Sources

Scored from published primary sources rather than hands-on use. Every figure above comes from one of the pages below, on the date shown. Manufacturers change prices and specifications without notice — if something here no longer matches the source, tell us and we will correct it.

  1. 1.First Digital Labs — transparency and FDUSD reserve custody — checked

Frequently asked questions

Who holds FDUSD reserves?

Reserves are custodied by First Digital Trust Limited, a registered trust company in Hong Kong, with assets fully segregated from the trust company's own assets.

Who issues FDUSD?

First Digital Labs is the brand of FD121 (BVI) Limited, a BVI-registered subsidiary of the First Digital Group.

Nothing here is financial advice. Editorial policy · How we score · How we're funded.