Matrixport Launches New Lending Product
On July 16th, Matrixport unveiled its latest financial offering: a lending product that allows holders of the gold-backed token XAUm to use it as collateral for borrowing USDC or USDT. The service, available through the Matrixport application, operates under an 80% collateralization ratio, making it a flexible option for users looking to leverage their XAUm holdings.
Strategic Reserve and Ecosystem Integration
This initiative follows Matrixport’s earlier announcement of a strategic reserve for XAUm set at $3 million, which underscores the firm’s dedication to expanding the practical applications of this digital gold token. XAUm is no stranger to the crypto ecosystem; it has previously facilitated swap functionalities on several platforms including UniSwap and PancakeSwap, and it is integrated with various popular decentralized finance protocols such as Kinza Finance, Avalon Finance, and Curve Lend, showcasing its robust utility in over-collateralized lending.
Enhancing Capital Efficiency
With the addition of collateralized loans for XAUm, Matrixport is not only enhancing the token’s role within centralized finance institutions but is also making strides to improve capital efficiency for XAUm holders. This development represents a significant step in broadening the ecosystem surrounding XAUm and reinforces the token’s presence in the evolving digital asset landscape.
