Harbor Raises Funds From Makerdao Unlocking Defi’s Full Potential in Trade Finance

August 10, 2021

Source: Harbor

Harbor continues to be a first mover in utilizing DeFi liquidity to finance global trade

Harbor announced Tuesday they have raised funds from MakerDao to finance global trade using decentralized finance (DeFi) liquidity. MakerDao is investing in Harbor’s portfolio by providing a line of credit backed by a securitization pool of trade receivables.

MakerDAO is a decentralized autonomous organization (DAO) which maintains and regulates the Dai stablecoin and is the first example of decentralized finance to receive significant adoption.

Harbor securitizes and tokenizes trade receivables by integrating with Tinlake, a protocol from Centrifuge which helps facilitate the on-chain securitization process.

An innovative fintech that began embracing DeFi in its infrastructure in 2020, Harbor’s core focus is to provide working capital in international markets through trade finance. Harbor originates, structures, manages and provides liquidity for trade finance programs on the HarborTrade platform.

Along with their own origination, Harbor also works with channel partners that originate assets for the fund. With Harbor, these partners are providing new trade finance products to their client base as well as accessing Harbor's DeFi liquidity. In addition, Harbor actively participates in and manages syndicated programs typically administered on the HarborTrade platform.

Harbor's portfolio is on track to reach $100 million by 2022 with capital provided by DeFi protocols like MakerDao as well as the traditional investor base.

About Harbor

Harbor is a trade finance provider offering working capital solutions for businesses involved in cross border trade. Their programs include supply chain finance, receivables finance and inventory finance – end to end solutions covering the entire cash conversion cycle. Harbor’s proprietary platform makes trade finance more streamlined and accessible for small and middle market businesses. In addition to working capital, the HarborTrade platform offers users tools to improve visibility and operational efficiency among trading partners.