Pencil Finance Completes First Fully On-Chain Student-Lending Cycle

Pencil Finance, an Animoca Brands-incubated decentralized lending protocol, claims to have completed the first fully on-chain student-lending cycle. A $1 million student-loan bundle was raised and repaid entirely through blockchain records.

The financing package supported more than 6,600 students at 118 schools and universities across Southeast Asia, with over 1,000 receiving funding directly from Pencil Finance.

ErudiFi issued the loans, which were then packaged by Pencil Finance as an on-chain private-credit investment. The protocol operates on EDU Chain, an education-focused Ethereum-based network built using Arbitrum Orbit.