TrueFi launches new Blockchain.com portfolio, sourcing up to $100 million in liquidity via the new single-borrower lending pool
Designed to accelerate Blockchain.com’s growing lending business, the portfolio opens to verified non-US lenders on TrueFi, targeting ~8.50% APYs
San Francisco, California, April 2022 — TrustToken, the core team responsible for building the leading unsecured lending protocol TrueFi, today unveils TrueFi’s newest single-borrower pool (SBP), specially designed for top digital asset services and exchange platform Blockchain.com. Initially capped at $100 million for its first year, Blockchain.com plans to use the funds provided to support its own liquidity pools, leverage trading support, and book of lending services.
The decentralized finance (DeFi) ecosystem soared to more than $240 billion in total locked value in 2021 in a dramatic expansion of an ecosystem that was once on the fringes of blockchain. While lending and borrowing make up almost 20 percent of the total DeFi activity, most protocols are limited to overcollateralized loans to manage default risks. This makes the vast majority of DeFi loans highly capital-inefficient, hindering its march toward mainstream use and hindering user adoption, especially among institutional users.
TrueFi’s uncollateralized loans offer rigorously vetted financial institutions a maximally efficient financial instrument, with 24/7 operations, competitive rates, and rapid turnaround from onboarding to funding. The six-month single borrower pool providing debt to Blockchain.com will be available to all Know Your Customer-verified, non-US lenders on the TrueFi platform, offering them an expected APY of 8.50 percent, before incentives.
Earlier this year, TrustToken unveiled its first single borrower pool for Alameda Research, the leading digital asset trading firm, as well as the launch of its first protocol-to-protocol lending pool for Perpetual Protocol. TrueFi also launched its first B2B lending portfolio, bringing an expected $25 million to international businesses in a major collaboration with YC-backed delt.ai. Single borrower portfolios join TrueFi’s original stablecoin lending pools, which have already allocated more than $1.3 billion of unsecured loans to dozens of borrowers, with a 100% history of repayment now totaling $1 billion in successful repayments.
“We are excited to welcome Blockchain.com to the TrueFi Lending Marketplace,” says Rafael Cosman, CEO of TrustToken. “It is inspiring — although not surprising — to see more leading financial institutions bring their books of business on-chain, giving our global lender base even more financial opportunities. We’re proud to see TrueFi support the wide breadth and depth of Blockchain.com’s financial services and can’t wait to see this partnership accelerate both the growth of their business as well as the size of the TrueFi protocol. Expect additional single borrower pools, protocol-to-protocol portfolios, and entirely new financial opportunities to join TrueFi in the coming weeks as our partner network continues to expand.”
“Uncollateralized on-chain borrowing is among the most efficient ways for high quality borrowers to connect with global lenders, at scale” says Reid Simon, Head of Credit and Lending at Blockchain.com. “TrueFi enables us to tap competitively-priced capital at will and receive pre-approved funding in minutes, representing an exciting and new level of accessibility unavailable in traditional markets. We’re excited to work together to provide the TrueFi community with a new financial portfolio to explore and to grow the portfolio over time as we build credit history with TrueFi lenders.”
About TrustToken
TrustToken is building the protocol for global lending. TrueFi lets portfolio managers launch uncollateralized lending opportunities on-chain to a global base of lenders and borrowers. Since November 2020, has completed $1.3B of origination and $1B of repayments with no defaults.
Start using TrueFi at https://truefi.io, or learn more about TrustToken products at https://trusttoken.com.
For interested borrowers or asset managers looking to build financial products on TrueFi, please contact ryan.rodenbaugh@trusttoken.com.
About Blockchain.com
Blockchain.com is connecting the world to the future of finance. The most trusted and fastest growing global crypto company helps millions across the globe safely access cryptocurrency. Venture backed since 2014, Blockchain.com is valued at $14 billion. Visit Blockchain.com for more info, follow us on Twitter @blockchain, on Instagram @blockchainofficial, check out The Blockchain.com Podcast, and read our blog for the latest company news.
For more information, visit https://blockchain.com
