Institutional Digital Asset Lending Venue, CLST, Completes Oversubscribed Multimillion-Dollar Raise Led by Spartan Group, Coinbase Ventures, Kraken Ventures and Other Leading Investors
Zurich, Switzerland–(BUSINESS WIRE)–CLST (pronounced “Caeleste”), an institutional-only lending and borrowing venue for stablecoins and crypto assets, has successfully closed a multi-million dollar funding round, led by Spartan Group, with participation from Coinbase Ventures, Kraken Ventures, GSR, Menai Financial Group, Luno Expeditions, a subsidiary of Digital Currency Group, and TX Ventures – the VC investment arm of TX Group.
A one-stop shop for peer-to-peer lending and borrowing, CLST attracts digital asset lenders and borrowers such as hedge funds, trading firms, treasuries, asset managers and crypto banks looking for features automated digital asset collateral management systems. Capitalizing on the recent immaturity of the crypto debt market that led to financial difficulties for market leaders, CLST effectively automates bilateral price trading and settlement for the unsecured and secured short-term debt market. With a large number of institutions participating in the network after a soft launch in early 2022, CLST will go live with a broad version of the app later this year.
“CLST sits at the crossroads of the crypto asset short-term debt market and the traditional financial market. In tandem with our world-class investors and partners, we are establishing a marketplace for stablecoins, digital assets, fiat and beyond – the ‘new money’,” said Michael Guzik, Founder and CEO of CLST. “With this new funding, CLST will strengthen its peer-to-peer infrastructure through increased operational and business expansion, ultimately creating a lending facility that has not been made possible between institutional entities, until now.”
“With the current market environment exposing points of failure, it is clear that the crypto industry needs a better way to manage liquidity and counterparty risk as it continues to mature,” said Spartan Group Director Leeor Groen. “We are pleased to support the CLST team as they launch the leading platform to facilitate both institutional borrowing and lending as well as cash management solutions for digital asset market participants.”
The lack of counterparty risk assessment has also plagued the lending industry, prohibiting sophisticated parties from participating in a lucrative part of the industry. Currently, lenders have limited visibility into a borrower’s business risk, while borrowers have no control over the collateral posted to obtain loans. To alleviate this hurdle, CLST provides one-click financial data sharing and collateral management processes so that lenders and borrowers can accurately and efficiently assess their relationship before the negotiation and the value of the collateral after the negotiation.
CLST meets the requirements of any principal and agent lender wishing to automate the entire loan management process. Features such as e-quoting, trading, portfolio-to-portfolio transactions, collateral management, and transaction reporting allow any trade participant to engage in the short-term debt markets. The inherent lack of infrastructure to connect lenders and borrowers hampers institutional adoption and depth of liquidity. This is why the automation and security of collateral management, combined with the assessment of counterparty risk, are essential pillars of CLST.
To learn more about the CLST, please visit clst.com.
CLST (pronounced “Caeleste”) is the institutional communication hub for lending or borrowing stablecoins and crypto assets, automating multi-dealer price trading and price matching for institutional lenders. CLST Markets integrates next-generation features such as automated collateral management, counterparty risk assessments, interest rate benchmarking, blockchain-based electronic promissory notes and portfolio connectivity for settlements automated. CLST aims to address market uncertainties and scaling issues in unsecured and secured lending and borrowing of stablecoins and crypto assets. For more information, please visit www.clst.com.