Blockchain-based private credit surges 55%

As interest rates continue to rise, more and more companies are turning to blockchain-based private lending when seeking financing. According to data from the RWA.xyz platform that tracks debt, active private loans through digital ledgers have grown by 55% since early 2023, reaching approximately $408 million as of November 28.It is reported that one of the main advantages of blockchain-based private lending is the potential to lower borrowing costs. Although interest rates vary depending on the specific transaction, some blockchain protocols have rates below 10%, while traditional suppliers have rates as high as double digits in the current market environment.