Maple Finance is pivoting to direct lending - Blockworks

Blockworks
Blockworks

28 Jun 2023 1:00 PM

Maple Direct’s first lending product will launch next month, Maple Finance says, pitching the product as like Celsius but safer...

  • Cryptocurrency lender Maple Finance is launching Maple Direct, its first direct lending arm, targeting institutions.
  • Maple Direct aims to address the knowledge gap in underwriting blockchain and Web3 projects for institutional investors.
  • The lending product will provide loans to Web3 infrastructure companies, asset management firms, and liquidity providers.
  • Strict KYC and AML standards will be implemented to mitigate counterparty risks.
  • Maple Direct will be overcollateralized and secured by BTC and ETH collateral, held in segregated accounts and managed by qualified custodians.
  • Unlike other lenders, there will be no rehypothecation of collateral.
  • The transparency of DeFi provides advantages in terms of loan terms and collateral levels.

The sentiment of the article is generally positive, as it highlights Maple Finance's expansion into direct lending and emphasizes the advantages of their approach compared to other lenders.

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You May Ask

What is Maple Direct's target market?How does Maple Direct address the knowledge gap for institutional investors?What types of companies will be eligible for loans from Maple Direct?How does Maple Direct mitigate counterparty risks?What are the advantages of Maple Direct's approach compared to other lenders?

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