AQRU plc, an incubator specialising in opportunities in decentralised finance  (“DeFi”), is pleased to announce that it is launching a start-up offering cryptocurrency-collateralised lending services under the brand “BlockLender”. 

BlockLender will offer digital asset-holders the opportunity to use their cryptocurrency as collateral to access instant loans, with a minimum starting value of USD$100. 

Unlike other companies in the sector that fund crypto-collateralised loans by raising deposits,  BlockLender places the collateralised digital assets into smart contracts with well-established DeFi protocols, such as Aave, Compound and Maker. This in turn acts as collateral for funding for the underlying loan, enabling BlockLender to offer an interest rate to customers that are amongst the most attractive in the market for a comparable loan. This funding mechanism also means that BlockLender does not take excessive risks with customers’ collateral in order to keep returns high, thus mitigating one of the main risk factors in the crypto lending market. 

BlockLender is a standalone business and will be seeking to raise funds externally in the private market.  BlockLender has an impressive senior leadership team made up of cryptocurrency and fintech experts. Philip Blows, Chief Executive Officer of AQRU, will serve as Managing Director of BlockLender. 

BlockLender has been created as part of AQRU’s efforts to offer investors access to a wider range of services in the digital assets sectors. Through the launch of BlockLender, the Company aims to meet the demand for a sustainable and transparent alternative to many existing crypto loan providers that use customers’ deposits to fund other loans, invest their collateral in DeFi protocols with high levels of risk,  and do not provide clear information on how customers’ assets are being managed. 

BlockLender is being launched to a global audience, with certain regulatory exclusions. No services will be offered in any territory where it would be unlawful to do so. 

Philip Blows, Chief Executive of AQRU and Managing Director of BlockLender, commented: “While crypto-backed loans enable customers to use their digital assets to make real-life purchases,  many providers have taken on excessive levels of risk with people’s assets, without their customers knowing. With the launch of BlockLender, AQRU is bringing much-needed transparency to the evolving digital asset lending market. BlockLender’s crypto-collateralised loans not only provide customers with attractive interest rates but also offer transparent information on how investors’ assets are being managed. With an accomplished team of industry professionals, BlockLender is very well positioned to capitalise from the vast opportunities in cryptocurrency lending.”

The Directors of AQRU plc take responsibility for this announcement.