TrueFi Powers WOO X’s Institutional Services Through Decentralized Loans To Verified Clients
The DeFi credit protocol launches its first
non-stablecoin portfolio, with loans managed by WOO
X
SAN FRANCISCO, CA, July 12, 2022 – (ACN Newswire) –
TrustToken, the core team responsible for building the
leading unsecured lending protocol TrueFi unveils its
collaboration with WOO X, a zero-fee digital asset trading
platform incubated by Kronos Research, the leading digital
asset quant company and market maker. WOO X will use TrueFi
to support its institutional services by issuing loans to
its clients through the protocol.
The amount of value
locked into the smart contracts powering decentralized
finance (DeFi) services soared in 2021, and despite some
fluctuations in the first months of 2021, the ecosystem is
still very much in the green year-on-year. While lending has
emerged as one of the most lucrative DeFi applications for
both retail and institutional clients, decentralized lending
protocols still largely have to rely on
over-collateralization to avoid risks, which makes the
service capital-inefficient. With its total of more than $1
billion loans originated in 2021, TrueFi ups the DeFi
lending game by enabling loans to verified institutional
borrowers through its lending protocol.
WOO X will
rely on TrueFi as the lending protocol of choice for
uncollateralized loans to its institutional clients in its
native WOO token, making it TrueFi’s first non-stablecoin
portfolio. WOO DAO, a decentralized autonomous organization
working to foster the growth of the WOO Network, will
provide the tokens for the loans, with all yields returning
to the WOO DAO. The financial institutions trading on the
WOO X platform have been verified through KYC measures, and
the loan principal will only be released into their WOO X
wallets. Due to TrueFi’s protocol technology, this type of
transparency will show WOO token holders where DAO funds are
moving.
The uncollateralized lending program follows
an update of WOO X’s staking program, which now allows
institutional clients to stake 600,000 WOO tokens to trade
without fees through the platform’s API. The update has
prompted demand for WOO loans among financial institutions
looking to gain access to the service fast and with reduced
risk exposure.
“Uncollateralized on-chain lending is
the most capital-efficient credit a financial institution
can get,” says Rafael Cosman, CEO of TrustToken. “Our first
non-stablecoin portfolios are further testimony for how
versatile TrueFi lending can be, supporting any digital
assets at all–Bitcoin, Ether, and other top coins are also
very much a possibility. We are excited to be reimagining
loans for the 21st century as we work to push TrueFi’s total
originated loans to $10 billion.”
“The institutional
interest for crypto is soaring, and readily-available
capital is one of the key conditions for big players to
delve deeper into the space, especially in the current
climate,” says Ran Yi, Chief of Ecosystem at WOO Network.
“We are thrilled to be partnering with TrueFi to grant
institutions fast and efficient credit through DeFi’s first
uncollateralized lending protocol. By giving traders more
flexibility, we enable more usage of the network, which
ultimately benefits the entire ecosystem.”
About
TrustToken
TrustToken is building the protocol for
global lending. TrustToken’s TrueFi protocol brings
uncollateralized lending and credit scoring on-chain,
offering borrowers the highest possible capital efficiency
at competitive rates, while offering lenders the broadest
marketplace of financial products in DeFi. TrueFi has
completed over $1B in loan originations with a perfect
record of repayment.
The company’s TrueCurrencies are
the world’s first independently-verified, fully
collateralized stablecoins, trading on top exchanges like
Binance, Huobi, and OKEx, generating billions in monthly
trade volume. TrueCurrency users enjoy lightning-fast
transactions, the lowest transaction costs of any
stablecoin, easy exchange to and from fiat currency, and
obsessive customer service.
Start using TrueFi at https://truefi.io,
or learn more about TrustToken products at https://trusttoken.com.
About
Kronos Research
Kronos Research is a leading
quantitative trading company and cryptocurrency market
maker, headquartered in Taipei. Founded in 2018, it grew its
daily trading volume to about $5 billion per day while
working to build an infrastructure for democratizing
investment and trading with both traditional and
crypto-assets. WOO X is its digital asset trading platform
listing a wide array of coins and tokens, as well as futures
contracts pairing $PERP against a variety of popular digital
assets. The exchange relies on the WOO Network for
liquidity, with WOO DAO working to foster the development of
the ecosystem.
For more information, visit https://kronosresearch.com/
