International funding agency Sixth Avenue has invested $200 million in Determine Know-how Options, a US-based lender that makes use of blockchain expertise to spice up efficiencies and decrease prices within the lending market.
Based on a Feb. 27 report by The Wall Street Journal, the funding will permit Determine to situation as much as $2 billion in new loans. It's going to additionally assist the corporate develop into different lending markets.
Determine Know-how primarily points dwelling enchancment loans but additionally affords enterprise loans and debt consolidation providers. It additionally operates a private lending enterprise that enables cryptocurrency traders to take out collateralized loans.
Figures’ web site claims to have served greater than 100,000 households throughout 47 US states.
Determine Know-how bears an identical identify as Determine Markets, a digital asset alternate that was lately accepted to launch a yield-bearing US dollar stablecoin. Determine Applied sciences spun off its lending division in March 2024, creating a brand new guardian entity known as Determine Know-how Options.
For Sixth Avenue, the funding in Determine Know-how expands its presence within the fintech business. In December, the funding agency backed client lending firm Affirm in a $4-billion deal.
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Blockchain funding offers set to rise in 2025
Regardless of an unsure macroeconomic backdrop punctuated by tariff threats and elevated inflation, enterprise capital corporations are anticipated to allocate extra capital to blockchain startups this 12 months. Constructive catalysts this 12 months embody a pro-crypto Trump administration and the potential for decrease rates of interest, particularly within the second half of 2025.
Based on PitchBook, venture capital investments within the blockchain and cryptocurrency sector will attain $18 billion this 12 months, up from $13.6 billion in 2024. A current report from Galaxy Analysis additionally tipped blockchain enterprise offers to rise by 50% year-over-year.
Blockchain and crypto initiatives will entice extra personal capital in 2025. Supply: Galaxy Research
Jeffrey Hu, head of funding analysis at HashKey Capital, instructed Cointelegraph that enterprise corporations are more and more targeted on consumer-oriented applications of blockchain technology. A few of the most promising use circumstances embody decentralized bodily infrastructure networks (DePINs) and real-world belongings.
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