Kasu Launches on BASE: A New Era for Risk-Optimized Private Credit in DeFi

In a significant development for decentralized finance (DeFi), Kasu has officially launched on the BASE blockchain, introducing a novel approach to private credit lending. By leveraging proprietary technology and focusing on high-quality borrowers, Kasu aims to offer sustainable, risk-adjusted yields to a broad range of investors.

Bridging DeFi and Traditional Finance

Kasu’s platform is built on BASE, Coinbase’s Layer 2 blockchain, known for its scalability and security. The platform offers annual percentage yields (APYs) ranging from 12% to 25%, achieved by lending exclusively to top-tier accounting firms and their clients in Tier 1 economies, including the U.S., Canada, Australia, and the U.K. This strategy ensures that the yields are uncorrelated with crypto market volatility, providing stable returns for lenders.

Apxium: The Technological Backbone

Central to Kasu’s risk management is its partnership with Apxium, an award-winning SaaS+FinTech company. Apxium’s financial automation software manages over $2.5 billion in invoices annually for global accounting firms. Their technology accelerates invoice payments by up to 50%, enhancing cash flow and reducing risk for Kasu’s lenders. Notably, Apxium boasts an eight-year history with a 0% loss rate in invoice lending, a remarkable feat in the real-world asset (RWA) lending space.

Institutional-Grade Borrowers and Risk Structuring

Kasu’s lending model targets established accounting firms and their clients:

• High regulation and strict financial oversight
• Non-discretionary services ensuring consistent demand
• Low default rates, with the industry averaging less than 1%

These borrowers include leading global accounting networks and top firms across the U.S., U.K., and Australia. Kasu’s platform incorporates multiple layers of borrower recourse and real-time financial tracking, ensuring sophisticated credit risk structuring and transparency.

Transparency and Accessibility

Unlike many private credit platforms that operate with opaque structures, Kasu emphasizes transparency. Lenders have access to detailed loan performance and risk dashboards, providing full visibility into fund allocation and borrower quality. Furthermore, Kasu democratizes access to private credit strategies, allowing participation from nearly all lenders, including everyday investors in the U.S., regardless of their accreditation status.

Strong Backing and Future Prospects

Kasu’s launch is supported by early investors such as Woodstock Fund, Morningstar Ventures, Cypher Capital, and Faculty Group. The platform is also in late-stage discussions for a significant debt facility from a major institutional lender, signaling growing institutional interest in DeFi. With a pre-launch test total value locked (TVL) reaching its $3 million cap, Kasu is poised for substantial growth in the RWA private credit sector.

Conclusion

Kasu’s entry into the DeFi space represents a significant step toward integrating traditional financial practices with decentralized technologies. By focusing on high-quality borrowers, leveraging proven financial automation, and promoting transparency, Kasu offers a compelling option for investors seeking stable, risk-adjusted yields in the evolving landscape of decentralized finance.