UXD Insurance Fund deposit $7M into Credora Maple USDC pool
September 9, 2022 — UXD Protocol has established an insurance pool of over $55m, and will now utilize Credora’s Maple USDC pool on Solana to deploy $7m of that capital to earn a sustainable yield from a diversified set of creditworthy borrowers, whose financial positions are monitored in real-time. UXD is the first DAO to utilize the transparent Credora Maple pool to earn a sustainable yield on their reserve funds.
Kento Inami, CEO/Founder of UXD said:
“UXD Protocol is excited to gain exposure to attractive risk-adjusted returns by lending to well known institutional crypto funds through Credora! We expect to collaborate more closely with them in the future to increase our exposure.”
The Credora Maple pool has issued over $90m in loans to creditworthy borrowers with zero defaults. Amber, Auros, Folkvang, Ledger Prime and Wintermute went through Credora’s credit evaluation, which encompasses real-time risk monitoring, KYC and financial statement analysis across their CeFi and Defi holdings to generate a real-time credit score and an approximation of a borrower’s capacity to borrow more. The credit evaluations and real-time risk monitoring bring transparency to UXD’s credit lending and an unmatched risk-adjusted returns on their assets.
For DAOs and Treasuries
DAOs and Treasures across the crypto ecosystem have funds that are used for a number of functions to support their projects. The Credora Maple pool on Solana offers them an unrivaled risk-adjusted return on their assets, with unparalleled transparency of risk. The capital lent to the borrowers is currently locked up for 90 days and managed such that there is always adequate liquidity if depositors choose to withdraw at the end of that period.
UXD Protocol is a fully collateralized decentralized stablecoin backed by a delta-neutral position using derivatives to solve the “stablecoin trilemma”. The UXD Protocol is built upon Solana with integrations to all the top derivative trading exchanges for their delta-neutral position that collateralizes the stablecoin. The “stablecoin trilemma’’ states that any stablecoin can only meet two of the three conditions of stable, decentralized and capital efficient, though UXD’s novel stablecoin solution addresses all three features to create the ideal stablecoin. The UXD stablecoin is pegged to the US dollar and is 100% collateralized and delta-neutral. UXD is collateralized to the US dollar on a 1:1 basis and never over collateralized making it capital efficient. The protocol establishes a derivatives trading position on their decentralized exchanges that creates a yield component through a perpetual futures funding rate. The protocol earns a yield when the funding rate is positive and covered by the insurance fund if there is a negative yield.
Maple is a crypto-capital network operating across the Ethereum and Solana blockchains. Maple facilitates efficient credit flows by providing the technology for credit experts to build lending businesses. This in turn facilitates undercollateralized lending for institutional borrowers and income opportunities for lenders. Third-party credit experts harness Maple’s technology to operate fast-flowing lending businesses. Maple recognizes the multi-trillion dollar opportunity and is focused on becoming a gateway to efficient credit for growing, innovative real world businesses. For more information visit: maple.finance.
Credora enables data-driven and transparent lending across CeFi and DeFi. The team has developed private credit infrastructure that evaluates the real-time creditworthiness of borrowers while not needing to see any of their sensitive data. To date, Credora has facilitated $800m+ in uncollateralized loans across 100+ borrowers & lenders, and can help well-capitalized, risk-managed borrowers borrow transparently and securely. Credora currently monitors over $4 billion of borrower assets with coverage across the majority of CeFi venues while covering DeFi and staking activity from 14 EVM compatible chains and Solana. Credora (X-Margin) raised $8 million in a Series A funding round backed by leading digital asset investors. For more information on Credora, please visit credora.io.