Blockchain-based financing firm M11 Credit has resumed crypto lending on decentralized credit marketplace Maple Finance.
The news of the resumption of service was announced in a Twitter thread from M11 Credit on Wednesday, where the firm also said it has upgraded its underwriting and monitoring framework.
The stablecoin of the new lending pool will have an expected annualized yield of 10.75% usd coin (usdc) With a period of 60 days, the firm said.
The firm provided more details about the new loan service in a blog Post Published by Maple Finance, which emphasized on the improved risk management framework and credit policy implemented by the firm.
According to the blog post, the new Liquidity Pool will only offer lending to selected clients, described by M11 as “leading low-latency trading firms with market-neutral strategies, who have the ability to borrow from the M11 Credit Pool.” Have a strong and established track record.”
In addition, M11 also said that it has appointed a new Head of Credit who will be responsible for overseeing the lending business following the FTX bankruptcy.
“The Extended Pool Delegate team has established an advanced underwriting process and credit policy, and is implementing real-time monitoring tools for both on- and off-chain assets,” the blog post said.
$36 million in defaults after FTX collapse
Liquidity pools managed by M11 Credit suffered defaults of $36 million, while several loans went unpaid and were subsequently restructured FTX filed for bankruptcy In November last year.
At the same time, Orthogonal Trading, one of the largest borrowers on M11, was accused of misrepresenting to M11 and Maple Finance how much it had lost in the FTX collapse, which affected investors in M11 by up to 80%. The loss occurred. rythm.