By Blockchain News | Created at 2026-06-12 00:49:50 | Updated at 2026-06-12 09:18:53
20 hours ago
James Ding Jun 11, 2026 12:47
Trad.Fi plans to bring $650M in private credit on-chain, targeting the $1T U.S. equipment finance market. Key step for tokenized RWAs.
U.S.-based equipment finance platform Trad.Fi has announced plans to bring up to $650 million in private credit on-chain over the next four years, targeting the trillion-dollar U.S. industry financing manufacturing equipment, industrial systems, and residential solar installations. The initiative, supported by programmable treasury provider W3, represents a significant push to modernize one of the least digitized credit markets in the country.
According to Trad.Fi, the $650 million is not immediately deployed capital but a credit pipeline backed by committed senior credit facilities and signed Letters of Intent from anchor borrowers. As of now, the firm has secured $85 million in signed term sheets, with $40 million expected to close in the near term. Tokenizing these loans on blockchains such as Base, Arc, and Avalanche will allow for streamlined credit approvals and verifiable on-chain records.
"Small businesses lose deals waiting for financing, and the only way to fix that is to move the capital, the records, and the workflow onto programmable rails," said Alexander Szul, CEO of Trad.Fi. By digitizing the process, Trad.Fi aims to reduce credit approval timelines from weeks or months to as little as one business day, addressing a bottleneck in the manufacturing and equipment finance sectors.
Investor Opportunities and Market Impact
The initiative also includes an on-chain investment pool, allowing investors to gain exposure to equipment-finance loans originated through the platform. This pool, managed by a yet-to-be-named third party, is set to launch in the coming weeks. However, U.S.-based investors will be excluded in the initial phase due to regulatory constraints.
Trad.Fi’s move is part of a growing trend in tokenized real-world assets (RWAs), which saw their total value reach $31.3 billion as of June 2026, according to RWA.xyz data. However, the market has cooled slightly, with a 4.4% dip in value over the past 30 days. Tokenized U.S. Treasury debt dominates the sector at $14.8 billion, while tokenized corporate credit represents the smallest segment at $1.2 billion. Trad.Fi’s initiative could help expand the private credit category, which has seen increasing institutional interest.
Broader Implications for Finance
Trad.Fi’s entry into the tokenized RWA space underscores the growing adoption of blockchain technology in traditional finance (TradFi). By automating underwriting processes and leveraging tokenization, the platform aims to improve capital efficiency and unlock liquidity for small and mid-sized businesses that often face delays in securing financing. Legal agreements, such as UCC-1 filings and borrower documents, will remain off-chain, maintaining compliance with existing regulatory structures.
Other players in the tokenized credit space include Centrifuge, Maple Finance, and Credix, all of which aim to bring traditional financial products onto blockchain rails. Trad.Fi’s focus on equipment financing—an industry still reliant on manual paperwork—positions it uniquely in the developing market.
This initiative signals a broader shift in how credit markets operate, bridging the gap between traditional secured lending and blockchain-based capital markets infrastructure. With $650 million in private credit slated for tokenization, Trad.Fi is making a bet that digital rails will define the future of equipment finance.
Image source: Shutterstock
