Credbull Launches On-Chain Private Credit Fund, Revamping Crypto Lending

Crypto startup Credbull is launching an on-chain private credit fund, offering investors access to high-yield lending markets traditionally dominated by banks. The fund leverages blockchain technology to reduce fees and enables investors to buy in using stablecoins, with yields reaching up to 10%. Credbull's community will have a say in risk management and transparency, while the fund's shorter lockup period and focus on non-family offices reflect the unique characteristics of the DeFi market.

Credbull Unveils On-Chain Private Credit Fund, Expanding Access to High-yield Lending Markets

New York, April 20, 2023 - Crypto startup Credbull is poised to revolutionize the crypto lending landscape with the launch of its on-chain private credit fund. This innovative product offers investors tailored exposure to the burgeoning high-yield lending markets that have gained immense popularity in traditional finance.

"We recognize the allure of high yields and market dynamism, but there is a scarcity of high fixed yield solutions in the current market," said Jason Dehni, CEO of Credbull. "Our fund addresses this unmet need."

Harnessing Blockchain Technology for Enhanced Efficiency and Returns

Credbull's on-chain fund leverages the power of blockchain technology to streamline operations and reduce administrative costs, enabling it to offer higher yields to investors. By eliminating intermediaries and executing transactions directly on the blockchain, the fund eliminates up to 150 basis points in fees.

Expanding Access to Private Credit Markets

Traditionally, private credit markets have been accessible primarily to sophisticated investors with long-term investment horizons. Credbull's fund expands access to this asset class by offering shorter lockup periods and catering to a broader investor base.

"We believe in democratizing access to high-yield investments," said Dehni. "Our fund lowers the barriers to entry and caters to the unique needs of DeFi investors."

Community-Driven Governance and Transparency

Credbull's fund incorporates a community-driven governance model, empowering investors to participate in shaping the fund's risk profile and ensuring transparency in its operations. This level of community engagement is unprecedented in traditional private credit markets.

Attractive Returns with Diversification Benefits

The fund targets fixed yields of up to 10% for long-term investors, with an additional 10% of the upside generated by the fund. Its aim is to deliver returns in the range of 18-20%, providing investors with attractive diversification benefits within their portfolios.

Professionalization of Crypto Credit Markets

Credbull's entry into the crypto credit market signals a broader trend of professionalization within the industry. Other companies, such as the lending protocol Goldfinch, have recently launched SEC-registered investment advisory services, further legitimizing the space.

"The growth of on-chain private credit funds is a testament to the maturation of the crypto ecosystem," said Dehni. "We believe that this diversification into high fixed yield investments will contribute to the long-term sustainability of the industry."

Global Reach with Regulatory Compliance

Credbull's fund has been registered in the Bahamas, making it the first licensed on-chain private credit fund. The company is actively engaging with crypto finance platforms to integrate its fund into their offerings.

"Our goal is to expand the reach of private credit markets and make high fixed yield investments accessible to a global investor base," said Dehni. "We believe that Credbull's on-chain fund is the key to unlocking this potential."