Traditional finance teams are bringing compliant credit on-chain. New York startup Birch Hill has raised $4 million, with participation from ParaFi Capital, Castle Island Ventures, and Nascent, bringing its total funding to approximately $6.5 million.
Rather than simply building high-yield DeFi pools, the company focuses on evaluating, structuring, and distributing on-chain credit within the U.S. regulatory framework. The team has backgrounds at Goldman Sachs and BlackRock, has applied to FINRA for broker-dealer status, and serves as an official vault curator on Morpho. It plans to securitize U.S. multifamily housing, agricultural, and energy loans and bring them on-chain.
Notably, the RWA narrative is expanding beyond Treasuries into private credit. The competitive barriers ahead will involve more than interest rates: regulatory licenses, asset access, risk-control structuring, and institutional funding channels will also matter. Whether Birch Hill can make it work will hinge on its licensing progress and the performance of its underlying assets.
#RWA #On-chain credit
Rather than simply building high-yield DeFi pools, the company focuses on evaluating, structuring, and distributing on-chain credit within the U.S. regulatory framework. The team has backgrounds at Goldman Sachs and BlackRock, has applied to FINRA for broker-dealer status, and serves as an official vault curator on Morpho. It plans to securitize U.S. multifamily housing, agricultural, and energy loans and bring them on-chain.
Notably, the RWA narrative is expanding beyond Treasuries into private credit. The competitive barriers ahead will involve more than interest rates: regulatory licenses, asset access, risk-control structuring, and institutional funding channels will also matter. Whether Birch Hill can make it work will hinge on its licensing progress and the performance of its underlying assets.
#RWA #On-chain credit