Maple Finance, the developer of the cryptocurrency credit marketplace, announced the launch of a new trade receivables liquidity pool. This is the first step of the protocol to attract traditional financial investments to the blockchain sector.
The new USD Coin (USDC) Stablecoin Pool will allow companies to receive cash advances at a reduced rate compared to tax credits and other financing options such as employee retention (ERC) from the U.S. Internal Revenue Service (IRS). Companies will be able to use their receivables as collateral for loans, and investors will be able to make a profit.
The estimated annual return on the liquidity pool is 10% with a minimum investment of $500,000 and a 45-day lock-in period, with an upper limit of $100 million. It will only be available to accredited investors, such as institutional digital asset managers and treasuries of decentralized autonomous organizations (DAOs). Fulfilling all requirements of "know your customer" (KYC) and passing a money laundering check (AML) are mandatory conditions that applicants must meet.
AQRU, a London-based public company, was chosen to manage the pool - it acts as a delegate, controls the firms applying for loans, and manages the loan portfolio. Phil Blose, executive director of AQRU, said accounts receivable financing is one of the oldest financial services in use today. That's why his company aims to become a leader in blockchain technology, giving crypto-enthusiasts access to this time-tested approach to investing that can generate income.
Intero Capital Solutions, which specializes in receivables finance and intends to use funds from the pool to provide loans to qualified startups, was responsible for developing the idea.