The problem we kept running into
Over the first year of operating Bloquo's institutional stack, a pattern emerged. Clients who adopted stablecoins for cross-border settlement ended up holding large, structural stablecoin balances to meet operational needs: pre-funding corridors, cushioning FX swings, holding working capital for suppliers. That liquidity was doing its job, but it was not earning anything.
At the same time, businesses on the other side of the network, importers waiting on letters of credit, exporters financing inventory, PSPs needing working capital, were starved for short-dated, trade-backed credit. The traditional banking system provides this, slowly and selectively. Stablecoin rails could, in principle, provide it faster.
What Bloquo Finance is
Bloquo Finance is an on-chain credit and yield layer that sits alongside the core Bloquo settlement stack. It connects two sides:
- Liquidity providers who deposit stablecoins into tokenized vaults and earn yield from real trade finance flows.
- Borrowers (importers, exporters, and trade-finance originators vetted by Bloquo) who access short-dated credit against real-world trade receivables.
Every vault is structured around actual trade corridors: specific counterparties, specific tenors, specific collateralization. Yield is generated by real economic activity, not by speculation.
How it works, concretely
| Step | What happens | Who is involved |
|---|---|---|
| 1. Origination | Trade receivable originated by a vetted importer or exporter. | Originator, Bloquo credit team |
| 2. Tokenization | Receivable wrapped as an on-chain asset, structured into a vault. | Bloquo Finance |
| 3. Funding | Institutional liquidity providers deposit stablecoins into the vault. | LPs, Bloquo Finance |
| 4. Repayment | Upon settlement of the trade, stablecoins flow back with yield. | Originator, LPs |
Design principles
- Real-world backing. Every vault references tangible, underwritten trade assets. No synthetic yield.
- Institutional eligibility. Access controls and KYB checks at the vault level. Not a retail product.
- Composable by design. Vault tokens can integrate with the rest of a client's treasury or settlement stack on Bloquo.
- Transparent performance. On-chain reporting of repayment status, vault NAV, and corridor exposure.
Bloquo Finance is a separate product layer from Bloquo VASP (Use Bloquo) and Bloquo Infra (Build on Bloquo). Think of it as the yield and credit layer that sits on top of settlement infrastructure, not a replacement for it.
Who it is for
We are onboarding two types of counterparties in the first wave:
- Corporate treasuries and institutional LPs with stablecoin balances who want short-dated, real-asset yield instead of parking liquidity.
- Trade finance originators who want to fund receivables at speed, without the traditional bank-line bottleneck.
If you operate on either side and want to see vault-level terms, reach out. We are being selective with the first cohort because the whole point is that these assets perform.