One of the biggest crypto trading firms, Alameda Research, is financing part of its daily trading activity with DeFi loans. This leading crypto firm transacts around $5 billion worth of crypto daily. This firm has also revealed that it would borrow $750 million from TrueFi and Maple Finance over the year.
Alameda Research is one of the crypto firms founded by Sam Bankman-Fried of FTX. It is a major trader on the exchange and on the $12.5 million funding round for TrustToken, TrueFi’s parent company.
Moreover, DeFi platforms like TrueFi can help solve one of the many problems crypto traders face and access to funds.
Additionally, due to the industry’s volatile nature and the cloak of anonymity surrounding players in the space, traditional financial institutions rarely provide access to funding. This has left a gaping hole in the crypto industry that TrueFi tries to fill alongside a host of others.
Statement of Top Executive By Alameda
According to Sam Trabucco, a top executive at Alameda, the firm already conducts a double-digit percentage of its trading using DeFi. Before adding that, DeFi borrowing was also a significant part of its balance sheet.
In addition, Trabuco also stated that the firm plans to use all the major DeFi platforms. In recent days, the crypto industry has rebounded.
According to data from DeFillama, the total value of assets locked in the space is currently at $210 billion. Though, Ethereum-based platforms leading the pack.
Other blockchain networks like Terra, Solana, BNB Chain, Avalanche, and others have played a major role in space growth. For instance, Terra has a TVL that is now worth well over $20 billion.
While there is no debate that DeFi has more room for growth, the current political tensions around the world have considerably shown that the crypto industry generally has a role to play. It can help people achieve their financial freedom goals.
