In less than a week, Addem Capital raised 10 million dollars through Goldfinch Finance protocol to leverage one of its SPVs. By securing this first tranche of crypto Defi funding, the private debt fund continues its quest to reduce the financing gap in LATAM by reducing unnecessary intermediaries taking a disruptive approach to liquidity access.
Goldfinch is a decentralized credit protocol that connects cryptocurrencies with real markets. To bring them to LATAM and start connecting the off-chain and the on-chain worlds, local partners such as Addem Capital are crucial as they understand the particularities of each local ecosystem and can guarantee safety to protocol investors.
The crypto protocol enhances traceability and better execution of the waterfall distribution and monitoring tasks. At the same time, Addem will remain to monitor the quality of the assets pledged as collateral for each debt agreement and execute its funding processes in vehicles adapted to each local regulation. The main difference will be that, by integrating crypto as a source of funding, the private fund will leverage its technological capabilities through smart contracts in blockchain.
“DeFi has a great potential as a catalyst for developing financial inclusion in LATAM. Protocols are already a real financing option for emerging markets in Asia and Africa; we are certain it is just a matter of time until the same happens in LATAM. We are eager to untap this huge opportunity with Goldfinch that empowers anyone to be a lender.
The Goldfinch protocol is a tangible real-world use case of how DeFi can be positively transformative for the world. Addem Capital’s partnership with the Goldfinch protocol will help Addem Capital channel DeFi in order to supply fast, low cost, and scalable debt capital to operators across LATAM
Addem Capital plans to keep channeling resources through Goldfinch in the short term, and the fund expects to allocate 70 million dollars through the protocol this year and 180 million dollars during the next 18 months. Like the rest of Addem Capital’s vehicles, this one will fund structured debt facilities for asset originators within five verticals: fintech, real estate, energy, agro/sustainable foods, and healthcare. This new step in innovation will represent a safe and accessible option for the region.
