This paper proposes a novel, degradation-sensitive, adaptive SST controller for cascode GaN-FETs. Unlike in traditional transformers, a semiconductor switch’s degradation and failure can compromise its robustness and integrity. It is vital to continuously monitor a switch’s health condition to adapt it to mission-critical applications. The current state-of-the-art degradation monitoring methods for power electronics systems are computationally intensive, have limited capacity to accurately identify the severity of degradation, and can be challenging to implement in real time. These methods primarily focus on conducting accelerated life testing (ALT) of individual switches and are not typically implemented for online monitoring. The proposed controller uses accelerated life testing (ALT)-based switch degradation mapping for degradation severity assessment. This controller intelligently derates the SST to (1) ensure robust operation over the SST’s lifetime and (2) achieve the optimal degradation-sensitive function. Additionally, a fast behavioral switch loss model for cascode GaN-FETs is used. This proposed fast model estimates the loss accurately without proprietary switch parasitic information. Finally, the proposed method is experimentally validated using a 5 kW cascode GaN-FET-based SST platform.