TL;DR:
- Sky reported gross revenue of $30.8 million during September 2026, representing a 49.7% year-over-year increase.
- Galaxy Digital allocated $100 million of its treasury to the sUSDS asset and enabled the token as collateral for lending operations.
- The protocol completed its first burn under the Stage 2 framework, permanently removing 2.86 million SKY tokens from circulation.
During trading on Friday, October 23, it was revealed that Sky formalized the integration of a $100 million corporate allocation in sUSDS from Galaxy Digital and expanded its institutional loans through specialized credit facilities, according to the organization.
The September Financial & Operational Update is live.
Galaxy’s $100M sUSDS allocation. Grove’s warehouse facility at 75% utilization. The first SKY burn.
Alongside the announcements: protocol financials, reserve contributions and governance updates.
Read the full update ↓ https://t.co/mme2gposdv
— Sky (@SkyEcosystem) October 23, 2026
The operational and financial update for September 2026 specified that the protocol’s gross revenue reached $30.8 million over that 30-day period. According to Sky’s official report, this figure reflects a 49.7% expansion compared to the same month of the previous year.
Galaxy Digital’sstrategic move was not limited to holding sUSDS on its balance sheet. The financial firm formally approved the asset as collateral for its loan portfolio aimed at corporate counterparties.
Industry analysts point out that accepting yield-bearing tokens within institutional custody and lending services could optimize opportunity costs for professional borrowers. Instead of locking up capital with zero return, entities continue to earn the interest generated by the protocol’s savings rate while the collateral remains locked.
In parallel, the $500 million revolving credit facility operated jointly between Grove and Galaxy reached 75% utilization by the end of September. This level represents $375 million in active collateral-backed financing within the institutional infrastructure tied to the ecosystem.
Reserve Dynamics and Deflationary Burn Activation
Alongside the credit results, Sky executed its first token burn under the so-called Stage 2 of its capital allocation framework. The operation permanently removed 2.86 million SKY units from circulating supply.
Governance documentation details that this allocation phase was formally ratified on August 13, 2026. Therefore, September’s data corresponds to the first full calendar month under the new surplus distribution rules.
On the accounting side of operational reserves, the reported balance showed specific fluctuations. The August 2026 update placed the foundation’s reserves at $76.99 million.
The closing balance for September stood $8.09 million above the previous mark, registering an approximate increase of 10.5%. However, protocol records specify that the monthly remittance transferred was $7.15 million, without the September report providing an accounting reconciliation between both figures.
Market observers interpret that the combination of token buybacks and permanent supply reductions is aimed at linking revenue accumulation to the native token’s economic structure. Nonetheless, independent analysts highlight that the specific open-market buyback prices were not detailed in the report.
The distribution of the sUSDS savings derivative also made headway on other decentralized networks. In August 2026, the Mantle network incorporated yield vaults for this asset through technical integrations developed with CIAN, Fluxion, and Grove.
The underlying yield rate that rewards sUSDS holders depends exclusively on community governance votes and remains subject to periodic adjustments based on market liquidity conditions.
Spokespersons for the Sky Frontier Foundation confirmed that the comprehensive Q3 2026 report and recorded briefing will be released in late October. The period for market participants to submit formal questions regarding the protocol’s finances closes on October 28.
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