Credbull’s LiquidStone facility will offer fixed yield to investors from high quality liquid assets, collateralized on-chain lending and trade financing.
The fund will be capped at $100 million at debut, and raised to $500 million in Q1 next year.
Decentralized private credit platform Credbull is rolling out a new fixed yield credit facility LiquidStone, with a capacity of up to $500 million, exclusively on the real-world asset (RWA) focused blockchain Plume Network, the protocols announced on Thursday.
In the first phase, the product debuts with a fixed 30-day 10% annualized yield with daily redemption features on assets and yield, with assets capped at $100 million at the beginning. The protocol plans a broader rollout in the first quarter of 2025, raising the maximum capacity to $500 million and offering a 90-day fixed yield of 15% annualized.
On top of the yield, both retail and institutional investors may earn rewards for participating in the Plume ecosystem. The underlying assets are diversified across on-chain “high quality liquid assets,” collateralized on-chain lending and high yield trade financing solutions underwritten by loan originators focusing on small and mid-size businesses.
Private credit has been one of the first frontiers of crypto’s RWA tokenization movement, a process that brings traditional financial instruments such as bonds, commodities and funds to blockchain rails in pursuit of efficiency, transparency and accessibility gains.
The blockchain-based private credit market currently stands at $9 billion, rwa.xyz data shows, dominated by fintech firm Figure’s home equity credit line service using the Provenance blockchain. That’s still tiny compared to the booming private credit market in traditional finance, which the IMF estimated to be worth over $2 trillion.
Credbull, led by McKinsey alum Jason Dehni as CEO, is one of the newer entrants, aiming to broaden access to high-yield structured products using blockchain tech to cut costs. Its first fund debuted on Polygon this year and is regulated in the Bahamas. The company raised $5.2 million in August in a venture capital round led by GnosisVC.
Plume is an Ethereum-based layer-2 blockchain specializing on RWA finance, backed by Galaxy and Haun in a $10 million fundraising round earlier this year.