Avalanche (AVAX) News: Tokenized Loan Platform Aims to Modernize Small Bank Lending

Financial technology provider FIS and structured finance platform Intain have introduced the Digital Liquidity Gateway, a blockchain-based marketplace built on the Avalanche network designed to modernize lending for regional and community banks. This platform tokenizes loans as NFTs, automates settlement using stablecoins like USDC, and streamlines the process of securitizing and selling loan portfolios directly to institutional investors, bypassing traditional intermediaries. Integrated with FIS's core banking systems, the initiative targets the 'long tail' of smaller banks often excluded from capital markets. Key features include using Intain's AI engine to ensure data accuracy before minting traceable, tamper-resistant loan NFTs, which increases transparency and mitigates risks like double-pledging seen in recent financial controversies. The goal is to unlock balance sheet capacity for these banks, enabling them to make more local loans.

(Source：CoinDesk)