Lombard Launches Bitcoin-Backed Credit Product with Flow Traders

Lombard Finance has launched a new bitcoin-backed credit product called the Bitcoin Onchain Credit Strategy. The launch partner is Flow Traders, a global trading firm.

The product allows Flow to borrow stablecoins for market-making without depositing its own on-chain collateral. Instead, bitcoin deposited in Lombard's Bitcoin Earn yield product serves as collateral through an underwriting structure operated on the CAP private credit platform.

Michael Lee, head of digital assets at Flow Traders, commented that 'Liquidity providers like Flow Traders efficiently support digital-asset trading businesses through stablecoin financing.'