Pencil Finance leverages EDU Chain to process $1 million in student loans, providing a transparent, auditable track record for private credit investors in emerging markets.
The protocol operates on EDU Chain, an Ethereum-based network, which could marginally increase Ethereum network usage.
Animoca Brands-incubated Pencil Finance has successfully executed a $1 million student-loan cycle on the EDU Chain. The protocol utilized Arbitrum Orbit technology to package and track tuition financing for over 1,000 students in Southeast Asia, marking a milestone for transparent private credit on the blockchain.
By placing the lending cycle on-chain, Pencil Finance creates a transparent, auditable track record for lenders in emerging markets, allowing global capital to verify performance and fund loans that were previously invisible to traditional investors.