Ribbon Lend is a DeFi marketplace for institutional unsecured loans. Users can deposit their capital in single-borrower, insured pools, created and launched on Ribbon Lend by institutional borrowers (like Alameda, Folkvang, Wintermute, just to name a few) who have been whitelisted. Lenders can receive favorable risk-adjusted interest rates in exchange for providing liquidity, while whitelisted institutional borrowers can borrow money from a decentralized source without the need for collateral.
Ribbon Lend offers the best of both worlds between TradFi and DeFi:
Yields from unsecured lending; you can decide independently how much and in which pools to deposit, based on your preferred risk/return profile.
No lockupsfrom Aave’s money market model; you can withdraw whenever you want, the overall amount of funds that can be withdrawn is determined solely by the utilization rate of the pool.
All loans in our structured products, including Ribbon Earn and new vaults, will flow into Ribbon Lend pools. This allows us to leverage our Ribbon structured products as a reliable and sizable source of lending deposits in the credit facility.
Furthermore, this allows our structured products to be redeemable on a weekly basis and potentially even on a block-by-block basis, attracting further TVL.