DeFi Lender Abandons Retail, Sees $1 Billion in Institutional OTC Loans

A DeFi lending platform that once brought in $80 million in revenue has quietly dismantled its consumer-facing app, cutting off retail users entirely, as its OTC lending desk to tech giants now holds $260 million in outstanding loans.

The pivot, detailed in the original report, reveals how some crypto-native companies are radically reorienting toward institutional demand after a brutal bear market erased retail exuberance.

The platform's revenue cratered by 75% from $80 million to just $20 million as asset prices collapsed and on-chain activity dried up. Rather than ride out the downturn hoping for a retail revival, the team made the call to shut down the consumer interface and reposition the lending infrastructure as a private over-the-counter service.

The platform's OTC lending business is now its fastest-growing segment, with $260 million in outstanding loans expected to hit $1 billion by the end of the year. The appeal lies in bespoke terms, deeper liquidity, and the absence of on-chain slippage that can rattle public markets.