Clearpool, a decentralized capital markets ecosystem, has partnered with on-chain credit score danger administration firm Cicada in a transfer to institutionalize PayFi lending with improved danger administration.
In an announcement shared with Cryptonews on Monday, the partnership will enhance Clearpool’s credibility and danger administration in PayFi lending. Cicada will construction and underwrite PayFi lending alternatives and function the executive agent for choose Credit score Swimming pools.
Cicada has underwritten greater than $850m in loans at a 1.2% default charge in the course of the prior cycle.
Clearpool has partnered with Cicada to institutionalize PayFi lending with risk-managed Credit score Swimming pools
Cicada is an on-chain credit score danger administration firm based by a seasoned group of former buy- and sell-side credit score professionals. Cicada’s co-founders have deep crypto… pic.twitter.com/JY79tNCVqE— Clearpool (@ClearpoolFin) August 11, 2025
Clearpool’s partnership with Cicada may shake up the lending house, bringing extra institutional gamers into the DeFi fold.
Clearpool Expands to Fee Financing or PayFi
In keeping with Jakob Kronbichler, CEO of Clearpool, Cicada’s danger administration integration would strengthen Clearpool’s institutional infrastructure for PayFi lending.
“Whereas stablecoin settlements are immediate, underlying fiat flows usually are not, forcing fintechs to bridge liquidity gaps,” he mentioned. “This partnership enhances our confirmed credit score framework and helps the expansion of the rising trillion-dollar stablecoin fee ecosystem.”
Clearpool shall be launching PayFi Credit score Swimming pools for customers to entry these extremely liquid, real-world yield alternatives. This implies facilitating credit score to institutional lenders specializing in short-term stablecoin-based working capital to fintech operators.
It would additionally launch cpUSD, a permissionless, yield-bearing asset, which is able to allow retail to faucet into real-world stablecoin funds.
Cicada affords Danger-as-a-Service (RaaS) Options to DeFi Protocols
Alternatively, Cicada affords Danger-as-a-Service (RaaS) options, together with third-party underwriting, pool administration for DeFi protocols and danger structuring.
“Partnering with Clearpool permits us to raise PayFi lending by combining our underwriting and danger administration experience with their revolutionary credit score merchandise,” mentioned Sefton Kincaid, Managing Accomplice of Cicada Companions.
The partnership will speed up the adoption of PayFi by laying the groundwork for extra safer, clear and scalable stablecoin ecosystem.
“Collectively, we’re advancing professionally managed Credit score Swimming pools and strengthening Clearpool’s providing to debtors and lenders within the rising stablecoin financial system,” Kincaid added.
The submit Clearpool, Cicada Accomplice to Enhance Danger Administration in PayFi Lending appeared first on Cryptonews.