Maple Finance Opens Cash Management Solution to U.S. Investors, Backed by U.S. Treasury Bills

On August 9, 2023, Maple Finance announced the opening of its Cash Management Solution to U.S. domiciled Accredited Investors and Entities, operating with a Reg D exemption. This development allows these investors to access a conservative yield backed by U.S. Treasury bills on-chain.

Since the pool’s initial launch to non-U.S. customers in April, over $27 million USDC has been deposited into the Cash Management USDC pool, returning an average yield of 4.67% to lenders. The pool targets a net APY of the current 1-month U.S. Treasury bill rate, less fees totaling 0.5% annualized.

The Cash Management Pool is designed to serve as a highly liquid treasury management solution for Web3 treasuries, digital asset funds, and DAOs. It offers direct access to U.S. Treasury Bill rates on-chain, without ETF liquidity or depeg risks, and no inbound or outbound fees. This has led to nearly 60% of lenders increasing their positions, with an average position increase of approximately 360%.

Relm Insurance, a licensed and regulated insurance firm, has praised the daily liquidity of the pool, emphasizing that their “top priority is ensuring capital is safe and accessible to meet potential claims.” Since launching, daily liquidity on U.S. banking days has been maintained, with more than $6 million in withdrawals serviced within one business day.

Key features of the Cash Management USDC Pool include:

1. Confidence with compliance: The pool operates with a Reg D exemption.

2. No in or outbound fees: Fees of 50bps are annualized and paid on interest earned.

3. Immediate interest and next-day withdrawals: No lock-up period, and withdrawals are serviced the next U.S. banking day.

4. Established, transparent infrastructure: Maple’s smart contract infrastructure provides constant, verifiable, on-chain information.

5. Direct access and recourse to Treasury Bills: Treasury bills are backed by the full faith of the U.S. Government.

6. Managed with leading 3rd parties: Room40 Capital, an institutional crypto hedge fund, is the sole borrower from the pool.

Maple’s commitment to providing access to financial products on-chain continues with this expansion, offering diverse yield opportunities to suit the risk, liquidity, and compliance needs of various investors.

The onboarding process for an Accredited Investor is described as a 3-step process that should take approximately 10 minutes for an individual and 15 minutes for an entity.

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Maple Finance Provides $300m In Loans to Bitcoin Miners Struggling amid Market Crash

Maple Finance, Australia-based Decentralized finance (DeFi) firm for institutions to borrow from Liquidity Pools funded by the DeFi ecosystem, announced on Tuesday that it has launched a $300 million fund for Bitcoin miners.

The lender established the move as the cryptocurrency mining industry struggles with access to capital markets. Raising capital has become difficult for crypto mining companies this year as Bitcoin price has drastically declined and energy prices have skyrocketed. Maple is looking to fill the gap.

In a statement, Sidney Powell, the CEO and co-founder of Maple, said: “Recent market headwinds have caused lenders to pull back, while traditional financing vehicles have been slower to engage this sector. Miners play an essential role in growing the crypto ecosystem and local economies, and we are proud to extend a new financing vehicle to direct capital where it is needed the most.”

Maple said that the $300 million lending pool will provide 12 to 18 months loans with interest rates ranging from 15% to 20% to blue-chip Bitcoin mining and digital asset infrastructure firms in North America, Canada, and Australia.

The $300 million lending pool is targeting to lend out funds to blue chip private and public firms with “effective treasury management and prudent power strategies,” Maple said. The pool will only offer fully collateralized loans, either by digital assets or real-world assets, including mining hardware, power transformers, and other physical assets.

Maple plans to open more lending pools for the growing mining sector and expects to expand its lending services to fintech firms.

When Will Miners Recover from Crash?

Many Bitcoin mining firms that expanded operations last year to capture more profits are now struggling as the crypto’s prices plunged.

The recent market crash has left miners going through a painful situation. Mining Bitcoin has become less profitable as the price of the cryptocurrency has nosedived, with popular machines like Bitmain’s Antminer S9 becoming money losers amid increased electricity costs.

Many miners have been cornered into powering off their operations or selling their holdings, while some are struggling to repay billions of loans that are backed by their equipment.

Struggling miners who preferred not to shut down their rigs were approved to raise capital in the debt or equity markets and/or sell off Bitcoin holdings.

In July, several miners, such as Argo Blockchain, Bitfarms, Core Scientific, and Riot Blockchain, among others, sold part of their Bitcoin holdings to secure funds designed to sustain their operations.

Last month, Bitcoin mining hosting firm Applied Blockchain secured a $15 million loan to pay off its existing debt and fund the construction of its data centres.

The crypto market recently went through an extreme crash in May and still has not come out of it. Major cryptocurrencies went through price drops, with Bitcoin plunging its price by more than half.

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Maven 11 Launches $30m Loan Pool on Defi Lending Protocol Maple Finance

Defi lending protocol Maple Finance has launched a $30 million liquidity pool backed by Netherlands-based crypto-native investment firm Maven 11.

Maven 11 announced that the launch of the loan pool is designed to help institutional businesses seek income opportunities.

A $30 million pool of funds funded by institutional lenders will provide liquidity to borrowers used by firms including Wintermute, Auros and Flow Traders Nibbio and Folkvang Trading.

In return, the lender will receive revenue from the market maker.

The injection of funds into lending pools by institutional investors will provide liquidity to borrowers, a particularly valuable resource during crypto bear markets.

Maple Finance, a decentralized financial credit platform, claims to have issued over $1.5 billion in cumulative loans, with total deposits exceeding $635 million at the time of writing.

Sidney Powell, CEO of Maple, said, “Now that the last quarter has come to a close, appetite is shifting back toward deploying and getting yield again. We’ve seen lending volumes starting to grow. People are being enticed by price to come back into the market for stablecoin yields. “

Maven has been investing in venture capital since 2017 and has backed projects such as Celestia, Qredo, Nym Technologies, Spectral Finance, Merit Circle, Maple Finance, Anoma and Zapper through its two funds.

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Crypto Bloodbath Spills to DeFi as TVL Nosedives

When the digital currency ecosystem records as much as a plunge below $1 trillion in combined market capitalization, the Decentralized Finance (DeFi) ecosystem can certainly not be spared.


While Bitcoin (BTC), the industry’s legacy coin, has skidded back to its lowest level since December 2020, the DeFi Total Value Locked (TVL) has also plunged in tandem, dropping to $83 billion at the time of writing.

For context, the DeFi TVL was pegged at around $114 billion, as reported by Blockchain.News back in May was a figure which was considered very low considering its prior leaps. 

The spill-over in the crypto ecosystem into the DeFi world is unprecedented, and it explains the growing lack of faith amongst both retail and institutional investors in the ability of the DeFi protocols and their underlying products to help print marginal profits. 

MakerDAO (MKR) still maintains its 9.67% dominance in the DeFi industry atop an $8.03 billion in Total Value Locked. Curve Finance (CRV), Aave (AAVE), and Lido Finance (LDO) trailed Maker in that order with respect to their relevance, but not without an encompassing minimum drop of 25% from all three protocols.

Bad But Not All is Worse

While the outlook of the DeFi ecosystem looks very bad, the trends are not completely worse for all of the protocols as some are maintaining a positive growth even amidst this encompassing uncertainty. 

Frax Finance (FRX) is amongst the protocols with a marginal growth per its TVL upshoot. With a daily change of 0.21% and a weekly change of 2.48%, it is evident that investors consider the protocol one of the most resilient for now. 

Solana-based AMM protocol, Atrix, Maple Finance, and Spool Protocol have also shown far more resilient growths on the weekly chart compared to the reality in the broader crypto ecosystem.

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Maple Finance Launches DeFi’s First Syndicated Loans With Alameda Research

Key Takeaways

  • Maple Finance has launched institutional syndicated loans.
  • Alameda Research is the first firm to take out a syndicated loan with Maple.
  • The new offering will allow borrowers to take out undercollateralized loans from groups of institutional investors.

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Maple Finance has launched the first DeFi-focused syndicated loans, allowing large-cap institutions to access debt capital markets on Ethereum. 

Maple Finance Launches Loan For Alameda Research 

Capital efficiency in DeFi is improving. 

The Ethereum-based corporate lending platform announced Thursday that it had launched the first DeFi syndicated loan with Alameda Research. The new offering will allow borrowers to syndicate loans directly from accredited institutional investors worldwide through a single borrower-lending pool. 

Quantitative trading firm Alameda Research is the first institution to take advantage of the new borrowing vehicle, attracting $25 million from industry leaders including CoinShares, Abra, and Ascendex. 

Unlike traditional debt capital markets activity, Maple Finance allows borrowers to expand their syndicated loans at any time. The lending platform plans to increase funds lent to Alameda Research over the next 12 months, with the end goal of facilitating $1 billion for the trading firm.  

Alameda’s co-CEO Sam Trabucco said of the launch: 

“The crypto trading landscape has evolved very quickly over the past few years, and we expect it to continue to do so. The flexibility that comes from a decentralized, on-chain lending platform like this one helps Alameda adapt to that landscape, and we look forward to seeing it grow.”

Syndicated loans allow a borrower to simultaneously access funds from a group of lenders, increasing capital efficiency in debt markets. Additionally, Maple’s syndicated loans are conducted entirely on the Ethereum network allowing for greater flexibility and security for both lenders and borrowers. 

Maple Finance currently restricts its DeFi syndicated loans to accredited institutions outside the U.S. This lets lenders know that the other participants in the pool have also been through anti-money laundering and know your customer processing. With such stringent checks for lenders, the project is hoping to entice large traditional finance participants to also sign up for its funding waitlist.

Maple Finance is an institutional lending platform focused on providing undercollateralized loans for crypto-native companies. In May, the protocol started offering institutional DeFi loans facilitating $17 million from lenders including and CoinShares. Earlier this month, the platform launched permissioned pools, enabling regulated entities to facilitate on-chain undercollateralized lending for the first time.

Disclosure: At the time of writing this feature, the author owned BTC, ETH, and several other cryptocurrencies. 

This news was brought to you by Phemex, our preferred Derivatives Partner.


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Maple Finance Targets Institutional DeFi Market With Permissioned Pool Launch

Key Takeaways

  • Maple Finance has partnered with BlockTower Capital and Genesis to launch a permissioned lending pool.
  • Institutions must complete KYC procedures to participate in the pool.
  • Maple Finance is hoping to become DeFi’s go-to institutional lending platform.

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Maple Finance has launched a new lending pool in partnership with BlockTower Capital and Genesis.

Maple Finance Launches Permissioned DeFi Pool

Maple Finance is taking big steps to onboard institutions into DeFi. 

The Ethereum-based DeFi protocol, which describes itself as a corporate lending platform, announced the launch of a new permissioned pool Monday. It’s the first example of a DeFi lending pool that restricts participation to regulated entities. 

The new pool is the result of a partnership with BlockTower Capital and Genesis, two institutions operating in the digital assets space. BlockTower Capital is a longstanding creditor of Genesis, and it plans to grow the pool to up to $20 million in its first month. Sidney Powell, the CEO and co-founder of Maple Finance, said of the update: 

“Fully permissioned institutional lending enables regulated entities to facilitate on-chain uncollateralized lending for the first time. By building on the public blockchain, Maple gives institutions access to credit markets that operate on a single layer of infrastructure that is transparent, scalable, and secure.” 

Maple launched in May 2021 and has quickly grown as the DeFi space has attracted interest. Of the $105 billion locked in DeFi protocols on Ethereum today, Maple accounts for about $265 million. Maple already hosts two pools overseen by Orthogonal Trading and Maven 11, though this is the first time lenders and borrowers must be whitelisted to participate.

The BlockTower pool is expected to onboard more institutions that have completed the required KYC process in the next few months. Maple is hoping that the pool will pave the way for institutions to take advantage of the transparency and security of DeFi on Ethereum. 

The new pool is the first to enable uncollateralized lending for regulated bodies, though Maple isn’t the only DeFi project to target the institutional market. Aave, one of DeFi’s largest lending protocols, recently launched a permissioned service for institutions called Aave Pro. Maker, meanwhile, saw the French multinational bank Société Générale apply for a $20 million loan in September. As decentralized finance continues to grow, its leading projects will be looking for ways to onboard the next wave of adopters, institutions included. 

Disclosure: At the time of writing, the author of this feature owned ETH and AAVE. They also had exposure to MKR in a cryptocurrency index. 

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New DeFi ‘passport’ could enable under-collateralized crypto loans

Decentralized finance (DeFi) protocol Arcx has announced the launch of Sapphire v3, a DeFi passport allowing crypto users to pseudonymously build and verify their reputation on-chain.

Announced June 2, the DeFi passport will score users on a scale between 0 and 1,000, with Arcx advancing that the passport “incentivizes reputation-building and curates on-chain identity into DeFi.”

In the absence of a DeFi passport, Arcx asserts that “protocols are left to treat every user the same, occasionally giving preferential consideration to wallet size, institutional backing, or restrictive KYC.”

Arcx expects its passport will be integrated onto many DeFi protocols, predicting Sapphire will allow projects to offer “low-collateral loans and high-yield farms” targeting users with high credit scores. As such, Arcx’s passport could facilitate growth in the emerging sector of DeFi-powered under-collateralized loans.

Speaking to Cointelegraph, the CEO and co-founder of institutional under-collateralized loan protocol Maple Finance, Sidney Powell, commented that “Arcx’s passport will help bring under-collateralized loans closer for retail DeFi users.”

Although Powell stated “there is no doubt that stickier reputations and identities would be positive for retail under-collateralized loans,” he speculates that the use of zero-knowledge proofs could bolster the passport’s adoption “by encouraging users to share off-chain information about themselves in the confidence that they maintain confidentiality.”

Powell added that the Sapphire passport should consider a loan’s “affordability,” stating:

“An address may have had a great record of repaying $10K loans on Compound, but how creditworthy would they be on a $250K loan? This is something Arcx can address over time with more data.” 

Looking forward, Arcx hopes to evaluate individual scores for a range of criteria, including their “Airdrop Score” and “Yield Farming Score” — which estimate the likelihood of an address holding onto airdropped or farms tokens over the longer term, and a “Governance Score’ that assesses whether an address is likely to participate in on-chain governance.

The protocol also aims to provide “Trader Scores” intended to ascertain whether a user is employing bots to execute trades, with Arcx suggesting DEXes could offer reduced trade fees to addresses verified not to be using bots.

Arcx also revealed it recently raised $1.3 million from top crypto investors including Dragonfly Capital and Scalar Capital, bringing its total sum raised to $8.2 million. Tom Schmidt of Dragonfly Capital stated:

“DeFi today is like the Wild West. People can walk up to any random protocol, front-run users, rack up a bunch of bad system debt, and bounce over to the next town. If we’re going to build a new global financial system, we’re going to need something better than the pseudonymous systems we have today.”