One of the largest market makers, Jane Street, has agreed with crypto hedge fund BlockTower Capital to secure a USDC loan of about $25 million through Clearpool, the institution-focused lending protocol.
📣 Clearpool launches its first Permissioned Lending Pool in partnership with @JaneStreetGroup & @BlockTower
💵 The pool has been initially funded with $25m of USDC, with plans to scale up to $50m in the near future.
Learn more👇https://t.co/WuMmfcMhKZ$CPOOL pic.twitter.com/MH3lICx6Fv
— Clearpool (@ClearpoolFin) May 3, 2022
In 2020, Jane Street executed securities trades totaling $17 trillion.
Depending on market conditions, the loan size could be doubled.
Jane Street Capital and BlockTower Capital are carrying out the initiative via Clearpool’s first private liquidity pool.
This structure enables institutional borrowers with stringent KYC/AML requirements to access capital without collateral, with full transparency about the list of creditors.
The platform also hosts publicly available liquidity pools. Providers include Amber Group, Auros Global, FBG Capital, Folkvang and Wintermute. In these pools, institutional borrowers on the whitelist can borrow funds in stablecoins from both retail investors and institutions.
The protocol attracts lenders through safe access and competitive yields. The latter is generated via a rewards mechanism and paid in CPOOL. Native token staking is provided.
The investors in the project, launched in March 2021, included Sequoia Capital India, Arrington Capital, Sino Global Capital, Hex Trust, Huobi Ventures, Kenetic, HashKey and GBV Capital.
As reported in April, Jane Street participated in the investment round of Bastion, a NEAR-based lending protocol.
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