Anvil Brings Programmable Credit to DeFi with Middlemen-Free Loans

Anvil is an Ethereum-based DeFi protocol that aims to make secured credit cheaper by eliminating middlemen. Unlike traditional lending, Anvil facilitates programmable letters of credit (LOCs) backed by on-chain collateral like ETH or USDC.

The protocol replaces the traditional letter of credit stack with smart contracts, allowing borrowers to deposit collateral into an audited vault on Ethereum and issue a LOC against it. The collateral stays in the borrower's control, visible on-chain and verifiable by anyone.

Anvil charges no protocol-level fees and has been audited by both OpenZeppelin and Trail of Bits. Its codebase is open-source, and 60% of its governance token supply goes to community partners and users.