Introducing the Cash Management Pool. Where onchain allocators put idle capital to work.
Specifically designed as an onchain cash management solution - the pool simplifies access to US Treasury bill yields and meets the liquidity, risk and accounting requirements of customers.
Maple expands its offering with a Cash Management Pool. Specifically designed as an onchain cash management solution - the pool simplifies access to US Treasury bill yields and meets the liquidity, risk and accounting requirements of customers.
Good cash management approaches can make all of the difference, enabling companies to extend runway, hedge against inflation, and manage cash flows. However many onchain allocators experience significant challenges preventing them from accessing low-risk yield opportunities offchain.
One major challenge is accessing banks and brokerages with the infrastructure and administration required, another is the heightened risk of operating offchain in banks and within certain jurisdictions. Ultimately, operating onchain has never been more of a preference and risk-mitigant for Web3 natives.
Whilst there are a handful of “risk-free rate” offerings on-chain, they do not provide the peace of mind necessary to attract hard earned treasury funds. Counterparty risk is either too high, assets too illiquid, too complicated with ETFs, or rates between 1-2% too low for the level of smart contract risk.
Today, with the launch of the Cash Management Pool, Maple solves this problem. Non-US DAOs, Offshore Companies, Web3 Treasuries and HNWI participants can now put their idle funds to work in a Pool designed to provide them with the most direct access to Treasury bill yields, whilst meeting their liquidity, risk and accounting requirements.
In joining today, the pool will pass the 1-month US Treasury bill rate, less fees, to Lenders. Room40 Capital, an institutional crypto hedge fund, has established a stand-alone SPV to be the sole borrower from the pool. The team has decades of operational and trading experience in the US Treasury market. Visit the pool.
So Lenders have more time to focus on their core business, Maple has simplified onboarding down to 3-steps and just 15 minutes to complete the application and made Interest Statements available to download at any time.
“This pool lets stablecoin holders focus on their core business activities whilst we take care of the technicalities. The access to banking and deposit services for startups has narrowed so the importance of having this service onchain cannot be overstated. We’re really proud to bring this to market at the perfect time with partners that share the same commitments.” Sid Powell, CEO and Co-Founder, Maple Finance.
Extra steps have been taken to ensure the pool is a first-choice cash management solution — assets are held in standalone single purpose vehicle, custodied by a regulated prime broker and Lenders have full recourse over all assets. Additional transparency is provided via a real-time view into the borrower’s portfolio of Treasury bills held in the brokerage account, this way Lenders can self-audit at any time.
Key Features of the Cash Management Pool:
Simple and fast access for non-US Accredited Investors and Entities: The pool passes yield sourced from US Treasury bills and reverse repurchase agreements, less fees, to Lenders. It takes between 10-15 minutes to complete onboarding. Begin onboarding here.
Immediate interest and next-day withdrawals: Interest accrues from the time of deposit, and so Lenders can manage cash flows there’s no lock-up period and withdrawals will be serviced the next US banking day.
Monitor and measure performance 24/7: Lenders have a real-time view into the borrower’s portfolio of assets held with a regulated broker and interest statements can be downloaded at any time.
Managed with leading 3rd parties: The Room40 Capital team are experts in trading Treasuries and will trade, custody and clear from an account with a regulated broker. Maple has a track record in providing secure and scalable products on top of best in class smart contract infrastructure and was recently awarded a 92% Safety Score by DeFi Safety [full report].
Risks managed on behalf of Lenders: The sole use of proceeds is to purchase US Treasury bills and reverse repurchase agreements. Treasury bills are backed by the full faith of the US Government, and are considered one of the safest forms of debt around. Lenders have full recourse over all assets held with a regulated broker.
If this sounds like the cash management solution you’ve been looking for begin onboarding here. The team is available to answer any questions, provide support to large lenders and work in partnership to develop DAO proposals. Arrange an initial conversation with your Account Manager here.
About Maple Finance
Maple provides the infrastructure for credit experts to run onchain lending businesses and connects institutional lenders and borrowers. Built with both traditional financial institutions and decentralized finance leaders, Maple is transforming debt-capital markets by combining industry-standard compliance and due diligence with the transparent and frictionless lending enabled by smart contracts and blockchain technology. https://maple.finance/
Room40 is an institutional investment firm focused on crypto. Our mission is to partner with builders developing tomorrow’s user experience through new economic design and financial operating systems. The firm manages dedicated strategies for private and public crypto markets, allowing Room40 to deploy capital across the lifecycle of digital assets. Room40 Capital is the firm’s multi-strategy hedge fund. https://www.room40.capital/
Q1 2022 Maple Treasury Report
In the first quarter of 2022 Maple turned a profit for the first time, driven by increased loan volumes and revenue, exceeding the previous 3 quarters combined.
Enhanced Lender experience with detailed borrower information, built by Maple
Detailed borrower information can now be accessed via the ‘Borrower’ tab within each Pool on app.maple.finance.
Streamlined accounting with Monthly Interest Statements, built by Maple
Informational Monthly Interest Statements are now available for Lenders to download from the ‘Account Overview’ tab.