Crypto exchange OKX has launched a new passive income option for users holding USDG, a stablecoin issued by Paxos. The new feature, called Auto-Earning, was introduced on August 28, 2025, to provide users with the dual benefits of asset efficiency and income generation.
USDG Auto-Earning: A capital-efficient solution
OKX’s Auto-Earning service is designed to make USDG both a collateral asset and an interest-bearing asset within the exchange’s ecosystem. Users who hold USDG in their OKX accounts can now automatically earn interest on their holdings without needing to stake or lock their funds.
Launched in February 2025 by Paxos Digital, USDG is fully regulated by the Monetary Authority of Singapore (MAS) and backed 1:1 by U.S. dollar reserves. As part of the forthcoming MAS stablecoin regulatory framework, USDG is expected to enhance transparency, security, and compliance in the stablecoin market.
OKX describes the feature as a capital-efficient solution that allows users to earn passive income while optimizing their capital, particularly in use cases like mortgage lending or margin trading. Importantly, there are no additional fees, and no upper limit on deposits. Users can earn based on the full amount they hold, with returns scaling accordingly.
How to start earning with USDG on OKX
To begin earning, users must transfer USDG to their OKX accounts and maintain a minimum balance of 1 USDG in either a funding or trading account. Once the deposit is made, earnings will begin automatically the day after the deposit is confirmed. Users do not need to manually subscribe to start earning.
While the exchange has not disclosed a fixed Annual Percentage Rate (APR), the rate is dynamically adjusted based on supply and demand in lending markets. The APR generally reflects simple annualized returns, excluding compounding.
Income is distributed weekly and deposited directly into the user’s fund account, making the process seamless and consistent.
With strong regulatory backing from MAS, OKX’s USDG Auto-Earning feature offers flexibility and convenience for users looking to generate passive income. However, OKX notes that some jurisdictions may restrict or not offer this feature due to local regulations.