Maple Finance: An on-chain asset management platform for institutional capital era

Key Takeaways

• As institutional investors enter the cryptocurrency market, the demand for professional asset management solutions is rising. Maple Finance fills this gap and establishes its position as an on-chain asset management platform.

• Maple not only connects lenders and borrowers but also assesses borrowers and strategically manages collateral, functioning more like a traditional asset management company. Recently, it launched Bitcoin yield products that transform Bitcoin into an income-generating asset.

• With the increasing participation of institutions, asset management platforms like Maple Finance are expected to establish early institutional relationships, which could translate into a long-term market leadership position.

1. The demand for asset management in the crypto market

In the traditional financial sector, large asset holders typically rely on professional asset management services. However, in the crypto market, managing large-scale assets is complex and carries high risks. While staking or direct lending may seem feasible, the actual operation requires professionals and robust controls. However, structured and reliable asset management institutions in the crypto market are scarce.

This presents opportunities for cryptocurrency asset management. Applying traditional financial models to digital assets may unleash significant market potential. As institutional participation deepens, the demand for professional, structured asset management becomes increasingly important.

This demand has significantly increased due to random participation acceleration. A key example is the large-scale Bitcoin purchases by Strategy since 2020, as well as the approval of spot Bitcoin ETFs in the United States and Hong Kong in 2024.

Therefore, the market that was once dominated by retail investors is nearing its limits. The current environment requires professional asset management solutions tailored to institutional needs.

Maple Finance was created to meet this demand. Established in 2019, Maple combines traditional financial expertise with blockchain infrastructure and has steadily established itself as a leading on-chain asset management provider.

2. on-chain Asset Management: Maple Finance

Maple Finance facilitates credit-based on-chain lending by connecting capital providers with institutional borrowers.

Maple adopts professional asset management practices that go beyond simple loan matching. It conducts credit assessments for institutional borrowers and makes strategic decisions regarding fund allocation and loan terms. During the loan process, Maple actively manages funds, utilizing mechanisms such as collateralized pledging and re-lending. This model is closer to the functions of modern asset management companies.

3. Core Participants and Operating Mechanism of Maple Finance

Maple Finance's products are built around three key participant roles:

• Pool trustee: manages the loan pool and assesses borrower credit
• Lender: provides funds
• $SYRUP holders: Participate in governance decisions

This structure reflects the security mechanism of traditional finance. The operation of Maple is similar to bank corporate loan business, but $SYRUP holders can also receive staking rewards funded by the protocol's revenue.

Maple Finance goes beyond basic loan intermediation, actively managing collateral including secondary lending and collateral staking. In some cases, loans are also structured based on parental guarantees.

The services provided by Maple can compete with traditional financial institutions, reinforcing its position as a trusted institutional-level asset management company.

4. Core Products of Maple Finance

4.1 Maple Institutional

Maple Finance offers a diversified and structured product portfolio, including lending products and asset management products:

• Lending Products:

  • Blue-chip products: Aimed at conservative investors, accepting mature assets as collateral.
  • High-yield products: For investors with high risk tolerance, actively manage over-collateralized assets.

• Asset Management Products:

  • BTC Yield Product: Allows institutions to deposit BTC and earn interest

BTC yield products utilize dual staking provided by Core DAO, where institutions store Bitcoin with a custodian and earn staking rewards. This addresses the issue of institutions lacking the technological infrastructure and expertise to generate yield.

Maple Finance plans to expand into a broader range of asset management products, bridging the gap between institutional investors and the crypto market.

4.2 syrupUSDC

To address the participation restrictions for general retail investors, Maple has launched the syrupUSDC and syrupUSDT liquidity pools. These funds are lent to institutional borrowers in Maple's blue-chip and high-yield pools, with interest distributed to depositors.

Although the yield is slightly lower than institutional products, Maple has introduced the "Drips" reward system to enhance long-term participation. Through this mechanism, Maple has attracted approximately $1.9 billion in USDC and USDT.

5. Key Differentiated Advantages of Maple Finance

5.1 Services developed by traditional finance experts

The Maple team includes professionals with extensive experience in traditional finance and credit assessment, capable of conducting rigorous credit evaluations and robust risk management.

Team Background:

• CEO Sidney Powell: Experience in asset management with National Australia Bank and Angle Finance
• Co-founder Joe Flanagan: PwC consultant, Axsesstoday CFO
• CTO Matt Collum: Senior Engineer at Wave HQ, Founder of Every
• COO Ryan O'Shea: Kraken strategic work experience

The core advantage of Maple lies in the integration of traditional finance and blockchain expertise, meeting institutional expectations and providing highly credible on-chain solutions.

5.2 Differentiated Risk Management System

Maple Finance applies traditional financial verification methods on-chain:

• Loan Assessment: Borrower screening and credit evaluation conducted by Maple Direct
• Settlement process: Issue a 24-hour notice, allowing for additional collateral.
• Settlement execution: Reduce volatility by arranging OTC trades in advance.
• Withdrawal system: processed in order or scheduled batches, improving determinism

5.3 Integrated Ecosystem Structure

Maple adopts a prudent growth strategy, prioritizing internal risk management and strategic synergy. Collaborating with platforms like Spark and Pendle to achieve a diversified revenue structure and multiple access points.

BTC yield products provide institutional-grade custody and efficient deployment through partnerships with BitGo, Copper, and Core DAO.

6. Maple Finance in 2025 and Beyond

Most of the strategic roadmap goals released in December 2024 have been achieved:

• TVL exceeds 4 billion USD
• The first TradFi partner borrowed over 100 million USD
• Syrup.fi's first over $100 million DeFi integration
• Protocol revenue exceeds $25 million

2030 target: Achieve $100 billion in annual loan volume management

Strategic Focus:

1. Expand BTC yield products adopt
2. Expand the asset product range to various digital assets

7. Maple Finance: Moving Towards a More Significant Position

As institutional investors enter the cryptocurrency market, Maple Finance positions itself to serve this niche. Its comprehensive financial services aim to meet institutional standards and expand collaboration with traditional financial institutions.

The arrangement for Bitcoin-backed financing with Canto Fitzgerald highlights Maple's institutional credibility. Winning high-profile clients like Strategy will further accelerate the adoption of BTC yield products.

The next 2-3 years will determine which platforms can become leaders in the institutional crypto finance space. Maple's proven institutional track record gives it a strong advantage.