As the launch of our Beta fast approaches, we’ve been working hard behind the scenes to bring you the most powerful product on the market, and everyone knows that powerful products require dynamic partnerships to strengthen them and take them all to the next level. That’s why Unreal is proud to announce that we’ve now partnered with Polytrade.
Polytrade is an invoice factoring and trade finance platform that brings safe and insurance-backed real world assets to crypto. They tap crypto lenders to bring low interest and swift financing to borrowers in the real world.
In traditional finance, invoices are typically issued with a 90–120 day payment window in order to alleviate cash-flow issues. Up to 80% of these invoices are then sold to a factoring company that provides upfront payment in exchange for a discount. The factoring company then assumes the debt of the invoice and collects the payment at a small premium within the original invoice time-frame. Essentially, this allows businesses to function smoothly while they benefit from the financier by providing yield because the financier has a longer time horizon. These invoices are also sometimes traded in tranches with some degree of speculation as to their eventual yield.
While big businesses benefit from this practice, smaller companies are often unable to take advantage of it due to problems securing financing for their invoices. Instead, Polytrade facilitates efficient access to capital through the crypto-lending markets and provides its users with a yield on their capital.
Unreal adds an additional layer onto this trade finance platform. By integrating Polytrade, our users will benefit from consistent streams of yield-bearing assets on which to speculate. Our partnership will allow the financiers on the Polytrade platform to leverage Unreal’s yield futures protocol to potentially gain a faster return on investment and the security of fixing their yield over time.
As DeFi matures and grows, it will outcompete legacy systems and eventually absorb elements of traditional finance. One can easily imagine how trade finance and yield trading will become a part of this absorbed evolution. As the industry progresses, early adopters will reap outsized returns by experimenting with powerful protocols like Unreal that will force reluctant players to adopt the new technology.
To force such a monumental shift, the DeFi ecosystem has to be able to accommodate the depth and breadth of complexity that exists within the legacy system. It is therefore vital that protocols such as Unreal are developed to provide that additional layer, in a secure and seamless manner.
The powerful combination of these institutional-focused platforms will provide their users with the ability to participate in the trade financing industry, while maintaining the degree of control and flexibility that Unreal enables.
As our community anticipates our upcoming Beta launch, there has never been a better time to join us. Stop by any of our social platforms today to connect with thousands of people who share your interest in decentralized finance and the future of money.