How can you execute onchain private credit repo at an institutional scale? We explored the issue in depth for the @MidasRWA mF-ONE token, in cooperation with @FasanaraCapital, onboarding today on @MorphoLabs thanks to Smokehouse USDC

mF-ONE is a composite of an instant liquidity sleeve, a standalone crypto delta-neutral strategy and an active allocation to the Fasanara F-ONE fund. F-ONE is a multi-strategy private credit fund offering diversified exposure to SME private credit Fasanara has a longstanding track record in financing SMEs through technology-enabled origination platforms. It launched its invoice financing activity in 2014 and established its flagship fund in 2017 Invoice financing refers to a cash advance provided to the seller, backed by an invoice payable by the debtor. Funds like Fasanara address the financing gap left by traditional banks by offering capital to small companies while gaining exposure to larger SMEs, on which it has greater access to data to assess credit risk.

The market is set to effective 84.5% LTV, combining Morpho's 91.5% LTV + a 7.7% oracle discount This provides a larger liquidiation bonus and a competitive LTV ratio The initial borrow cap in Smokehouse USDC will be set to $20m and scaled conservatively

Long-dated maturity mismatch presents opportunities for holders and speculators. However, it is still risky and should be done carefully. We hope that this structure can provide notes for other market participants to learn from as the landscape for private credit in DeFi expands

Follow @SteakhouseFi for more maturity mismatched formatting Disclaimers: