Alkemi Network, a recently-launched project designed to bridge CeFi users with DeFi, has integrated with Nexus Markets, a cryptocurrency exchange and lending vault platform, to provide Nexus users with DeFi-sourced vaults wrapped in a familiar exchange interface.
By utilizing Alkemi Network’s institution-grade liquidity platform, Nexus Markets is able to offer DeFi-level yields through its existing CeFi-based vaults, offering the best of both worlds in terms of accessibility and earning potential. Nexus Markets users can put their Ethereum, Wrapped Bitcoin and several stablecoins to work and earn a passive income by committing their liquidity to the decentralized finance vaults integrated with Alkemi Network.
The integration aims to solve a pressing need for many users who are hearing about the very attractive yields found in DeFi, especially when compared to traditional finance options. Typically, in order to tap into these yields, users need to learn about Web3 wallets, proper custody, gas prices, approvals, and many other complicated terms and procedures. By contrast, creating a bridge to the same yields while maintaining a familiar Web2 interface simplifies the process and can attract a much higher number of potential users, who may prefer to trust a reliable platform that offers bank-grade compliance features out of the box.
The partnership between the two companies enables DeFi liquidity to be accessed by CeFi users in a trusted-counterparty environment. Furthermore, the integration enables Nexus customers to participate in an institution-grade liquidity mining program through Alkemi Network and earn DeFi rates. The compliant environment maintained between Nexus and Alkemi has an extra safeguard to allow institutions and retailers to securely lend their assets and earn yields both off-chain and on-chain.
Brian Mahoney, CSO and Co-Founder of Alkemi Network on the partnership: “DeFi liquidity, CeFi experience. This is the product-market fit driving the next wave of digital asset growth. Through NEXUS, Alkemi Network unlocks DeFi yield opportunities for downstream users while building additional onramps to our on-chain ecosystem. We see this collaboration as a potent recipe for continued DeFi adoption.”
Ian McAfee, CEO and Co-Founder of Nexus Markets and Shift Markets on the partnership: “Clients might be on an exchange, unsure about using Web3 browser wallets. We facilitate DeFi through a familiar interface, so customers can access this new technology and the yields natively. Nexus is proud to be leading the way for institutions and retailers to safely and securely access DeFi.”
Alkemi Network launched out of stealth in April 2021, seeking to provide a pragmatic solution to adopting DeFi for institutional clients. With much-needed features such as advanced reporting and permissioned pools with known counterparties, Alkemi Network broadens access to DeFi for finance professionals.