Trad.Fi, W3 target $650 million in onchain private credit using AI evaluation
Trad.Fi is partnering with W3 to originate $650 million in private-credit equipment loans onchain over the next 48 months. The program targets the paper-heavy U.S. equipment distribution market, including manufacturing systems, industrial electrical infrastructure, and residential solar installations. Trad.Fi plans to use AI for risk evaluation, due diligence, and loan pricing, aiming to reduce financing timelines for small and mid-sized businesses from weeks or months to one day. The rollout will begin with traditional private credit lenders funding most loans offchain while the firms build bridge technology for predicting corporate stability and placing capital on blockchain rails. The long-term goal is a fully programmable treasury with all senior and equity capital flowing natively through Avalanche. A tokenized liquidity pool run by a third party is expected to launch soon, giving eligible investors onchain access to the equity portion of the generated private credit.
