Earn through real-world lending.
Diversify your portfolio with real-world asset exposure and earn returns uncorrelated to the cryptocurrency market.
How Lending Works
Get verified, pick your vault, and earn rewards!
Complete verification
In order to participate in the primary funding of our loan vaults you need to undergo our verification process.
Fund a loan vault
Select a loan vault that suits your risk profile, provide funding and receive loan vault tokens. The loan vault tokens are fully composable with the Ethereum ecosystem.
Earn rewards
Stake your loan vault tokens and earn rewards.
Related Questions
Let's assume I become a lender and fund a vault. What happens to my capital?

Your capital will be transferred to a borrower of the loan vault. The borrower will set up and redistribute your capital according to their business model and the loan agreement with the vault or, respectively, with Florence Finance. Upon maturity of the loan, Florence Finance may redeem loan vault tokens, however, there is no guarantee of redemption as long as funds can still be utilized within the vault mandate. This basically means: if you wish to exit your position, you are primarily dependent on the secondary market – alternatively you can choose to wait for vault expiry or maturity.

Are there any risks involved in lending?

The main risk associated with lending on Florence Finance is credit risk. This basically refers to the uncertainty that arises through the default of a borrower. However, determining the specific default risk of any borrower in a loan vault is required. So it's imperative to do due diligence on any and all of the vaults' borrowers and their respective business models – which, at the outset, will be handled by Florence Finance. Our aim is to promote and simplify credit information transparency over time. In the meantime, we're building a default reserve that absorbs smaller default losses if they occur.