SoFi launches interest-bearing, FDIC-insured tokenized deposit for crypto users

SoFi has launched SOFIE, an interest-bearing tokenized bank deposit offering consumers 4.4% APY with FDIC insurance subject to applicable limits, marking what the company describes as the first U.S. national bank-issued tokenized deposit for individual customers. Each token represents $1 deposited at SoFi Bank and continues earning interest until converted. Users can convert SOFIE 1:1 into SoFiUSD to purchase cryptocurrencies or transfer funds to supported external wallets around the clock, with the rollout expected to finish in November. The launch could accelerate adoption of tokenized deposits and strengthen SoFi's position at the intersection of traditional banking and crypto, although broader adoption remains to be seen.