- Zivoe is launching on July 31st to connect on-chain liquidity with real-world borrowers.
- The Initial Tranche Offering begins on July 31st, allowing liquidity providers to invest in Zivoe’s loan portfolio.
Zivoe, a Real-World Asset (RWA) credit protocol, is preparing for its launch on July 31st. This launch aims to integrate on-chain liquidity with real-world borrowers, enhancing the availability of credit.
Zivoe Bridges DeFi and Traditional Finance
Zivoe is designed to improve credit availability by integrating on-chain solutions with real-world consumers. First, the protocol will offer on-chain loans to a strategic partner in lending who will then deploy the funds to offer cheap fiat loans to consumers.
In the long term, Zivoe plans to engage directly with consumers, bridging the gap between on-chain finance and traditional financial (TradFi) systems. This comes at the same time as Zivoe’s Initial Tranche Offering (ITO) which is a liquidity bootstrapping approach for the creation of early TVL. Liquidity providers (LPs) can invest in stablecoins in Zivoe’s senior or junior tranche and, in return, receive Tranche Tokens.
The tokens allow users to invest in Zivoe’s loan portfolio with different levels of risk. The loan portfolio is secured by a special purpose vehicle (SPV) that generates cash flows from consumer loans, and users can stake their tokens to earn yield.
ITO and $ZVE Token Distribution Details Revealed
The ITO is sheduled to start from July 31st and will last for the maximum of 30 days. Stakeholders in the ITO will also be able to earn the token $ZVE which is Zivoe’s proprietary governance and utility token that will be distributed to participants at the end of the ITO. This initiative is designed to give DeFi users, especially US Accredited Investors and Non-US persons, an easy way to access the consumer credit market.
Zivoe has closed its funding round with $8. 35 million in capital, and it is led by a team with experience in TradFi consumer lending and DeFi. Some of the notable investors include Andrew Keys, Iceberg Capital, and Concave, amongst others.
Kristal Gruevski, the Founder and General Counsel of Zivoe, shared their appreciation for attaining this major achievement. She explained the new approach that Zivoe brings to the conventional lending process. “Our ITO will provide DeFi users with unprecedented access to the consumer credit market,” said Gruevski. “This is just the beginning of a new era where blockchain technology and real-world lending converge. We are excited to help millions of underserved individuals around the world while bringing a new RWA product to DeFi.”
Zivoe’s approach seeks to increase financial inclusion through the provision of credit by leveraging blockchain technology. This way, Zivoe aims to bring credit on-chain by connecting on-chain liquidity with real-world borrowers. The process of tokenization of real-world assets is still one of the most promising areas for the implementation of blockchain. This process refers to the act of tokenizing physical items and uploading them to the blockchain.