Loopscale Integrates Securitize Tokenized Shares for On-Chain Lending
Solana-based on-chain credit market Loopscale has now integrated tokenized shares of Securitize's ordinary stock, SECZ. This integration allows eligible holders to use their SECZ as collateral and borrow stablecoins at fixed rates without selling their shares.
Securitize announced the news on August 20 via its official X account. The company stated that this development demonstrates how tokenization can expand the functionality of publicly traded stock beyond ownership and transfer, moving it towards practical use.
Loopscale is a lending protocol running on Solana that allows borrowers to lock up collateral and receive loans based on their creditworthiness. However, unlike traditional lending, Loopscale's loans are over-collateralized, meaning that if the value of the collateral drops below a certain threshold, part or all of it may be liquidated.
Securitize previously announced in July that its ordinary stock had begun trading on the New York Stock Exchange (NYSE) under the ticker SECZ. At the same time, the company began offering tokenized versions of the shares to eligible US investors, with listings available on Solana and Avalanche since then.