Aussie DeFi platform Maple Finance to launch dollar300m lending pool to help Bitcoin miners
Categories: Crypto News
Aussie DeFi platformMaple Finance to launch $300m lending pool to help Bitcoin miners
MapleFinance, one of crypto’s major institutional DeFi lenders, has teamed up withIcebreaker Finance to launch a fully collaterised $300 million lending pool forstruggling Bitcoin mining firms.
According toa Maple/Icebreaker announcement, and a thread of Maple tweets yesterday, thelending pool is geared towards providing secured debt financing to public andprivate “blue-chip” Bitcoin mining and digital asset infrastructurecompanies in North America, Canada and Australia.
Underlyingloans in the new lending pool will reportedly last for 12 to 18 months withinterest rates of up to 20%. Loans will be secured by physical and intellectualassets owned by the borrower and that can include Bitcoin mining rigs.
“Recentmarket headwinds have caused lenders to pull back, while traditional financingvehicles have been slower to engage this sector,” noted Sidney Powell, CEO andco-founder of Maple Finance, adding:
“Minersplay an essential role in growing the crypto ecosystem and local economies, andwe are proud to extend a new financing vehicle to direct capital where it isneeded the most.”
Whosaid Bitcoin mining was bad for the environment?
Well, lotsof people, notably including elements of the US government. But, as the ABCreported last week, there’s a crypto-mining data centre in South Australia’sWhyalla that’s doing its best to change that narrative.Operated by LumosDigital Mining, the 5 megawatt data centre will be used to mine Bitcoin and isset to run almost entirely on solar-generated electricity.
Commentingon the encouragingly green new Bitcoin enterprise, South Australia StateMinister for Trade and Investment Nick Champion said:“This is important fordecarbonising blockchain, which is a very energy-intensive industry. I thinkit’s the beginning of a new economy out here at Whyalla.”
Championfurther, er, championed the cause, positing the idea that this new set-up pavesthe way for other green crypto-mining operations.“There will be demand forblockchain, but also carbon-neutral blockchain so I think we will see more andmore facilities like this,” he added.