Galaxy launches institutional on-chain financing program GOFR, self-funding $100 million for first-loss protection

Odaily reports, digital asset financial institution Galaxy has officially launched its institutional-grade on-chain financing program GOFR (Galaxy On-chain Funding Rate). This product helps institutional clients indirectly access the DeFi on-chain credit market, with Galaxy acting as the sole counterparty. It integrates interest rates from mainstream lending protocols such as Aave and Morpho to output a single optimized funding cost. Galaxy initially commits up to $100 million of its own capital as first-loss protection to reduce client borrowing risks. The business supports native Bitcoin directly as collateral, allowing clients to avoid managing wallets, private keys, or interacting with smart contracts themselves. Galaxy handles all risk control and asset monitoring on behalf of clients. The product is open to institutions, high-net-worth individuals, and qualified investors, with a minimum loan size of $1 million. A Galaxy lending business executive stated that GOFR addresses the operational and risk control pain points for institutions entering on-chain credit, combining on-chain financing yields with a standardized risk safety net mechanism. (galaxy)