Clearpool Launched Permission Liquidity Pool In Partnership With Jane Street
Clearpool partners with Jane Street, one of the world’s leading quantitative trading firms, and BlockTower Capital, a leading crypto and blockchain investment firm to launch a permissioned liquidity pool
The pool has been initially funded with $25m of USDC. Plans to scale up to $50m in the near future, subject to market conditions.
Launched on the Ethereum mainnet in March 2022, Clearpool is a leading protocol for institutional borrowing and lending of digital assets. It is backed by global investors including Sequoia Capital, Arrington Capital, Sino Global Capital, and HashKey.
The launch of this pool is a watershed moment for Defi. This is the first time that a major Wall Street institution has entered into a borrowing transaction on a Defi protocol, which places Clearpool firmly at the forefront of this burgeoning space.
BRIEF INFORMATION ABOUT Jane Street
Jane Street is a quantitative trading company and liquidity provider with a team of over 1700 people and offices in New York, London, Hong Kong, and Amsterdam. Crypto trading has become “a clear growth area” over the last couple of years for Jane Street, leading to their interest in unsecured crypto borrowing opportunities on Clearpool, which enables institutions to borrow via its decentralized marketplace and its ecosystem of lenders such as BlockTower.
BlockTower, is a leading crypto/blockchain investment firm. Active participant in the Defi lending space is the lender to this KYC/AML compliant “Permissioned Pool”. Permissioned Pools enable borrowers with higher KYC requirements to take advantage of Clearpool’s innovative access to efficient capital with full visibility of the pool’s lenders.
Clearpool has introduced a number of innovative concepts to Defi, including its flagship product Permissionless Pools. It gives whitelisted institutional borrowers the opportunity to compete for stable coin liquidity from a decentralized network of both retail and institutional lenders. Through a rewards mechanism and paid in the protocol’s native token CPOOL. Clearpool also provides lenders with the ability to assess and balance risk exposures, with further product offerings in the pipeline.
Jane Street and BlockTower now join a number of other institutional borrowers and lenders on Clearpool. This is Clearpool’s first Permissioned Pool since its product launched in March 2022 which already has five Permissionless Pools launched by industry-leading crypto market-making and trading firms, including Amber Group, Auros Global, FBG Capital, Folkvang, and Wintermute.
In addition, interacting with a KYC/AML compliant infrastructure is critical for traditional financial institutions who seek to enter Defi. The launch of this pool with Jane Street and BlockTower sends a strong signal to the market. Clearpool is leading the way.
ADDITIONAL INFORMATION ABOUT PERMISSIONED POOL
For borrowers who prefer to onboard lenders directly, Clearpool offers a customizable Permissioned Pool. Permissioned Pools have a fixed duration, fixed interest rate, and fixed CPOOL reward structure. Liquidity is locked for the duration of the pool, and interest accrues on a monthly basis.
Lenders interested in Permissioned Pools must first request access and then undergo an onboarding process, typically including KYC and AML checks, in accordance with the borrowers’ requirements.
ABOUT Jane Street
Jane Street is a global quantitative trading firm and liquidity provider. Provide 24-hour liquidity around the world in ETFs, equities, commodities, options, bonds, and cryptocurrencies.
Clearpool is a decentralized capital markets ecosystem, where institutional borrowers can create single-borrower liquidity pools. Compete for uncollateralized liquidity directly from a decentralized network of lenders. Liquidity providers on Clearpool earn attractive yields, with pool interest rates. Enhanced by additional rewards paid in CPOOL — the protocol’s utility and governance token. Clearpool LP tokens, called cpTokens, are the building blocks for a system of tokenized credit and on-chain risk management.
ABOUT BlockTower Capital
BlockTower is an institutional investment firm focused on cryptocurrency and blockchain technology.