Goldfinch raises $25M from a16z to power its DeFi lending protocol for borrowers in developing countries

• BySaksham Daga     |    January 7, 2022

Over the past year, all the excitement has been pulsating in the so-called Web3 space, and most of the most heartfelt amount of investor money seems to be flowing into products that touch US users. However, more and more start-ups are looking for opportunities in developing countries where existing centralized financial systems are struggling to meet user needs. 

 Stieglitz is a crypto startup developing a decentralized credit protocol that allows businesses to obtain crypto loans without having to already own a large amount of crypto. Today, most lending platforms rely on end-users’ existing crypto collateral to assess whether it is a secure bet on lending. The obligation to bet valuable crypto assets that exceed the value of the loan not only makes the loan more secure, but also keeps many potential loan recipients who do not have significant crypto holdings away. 

  Bay Area startups can use the protocol to find more mixed solutions to crypto lending, build capital pools, and allow fintech organizations outside the United States to work on the protocol and  access  funds while viewing it. Non-cryptocurrency that aims to be able to claim a lender. The 

  startup has told TechCrunch that it has raised $ 25 million  from Andreessen Horowitz’s cryptocurrency division. Other supporters are Coinbase Ventures, SV Angel, Blocktower, Bill Ackman and Helicap. Founders Mike Sall and Blake West previously worked together at Coinbase before establishing Stieglitz in July  2020. The company raised $ 11 million in June last year.

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