YZi Labs Backs TermMax to Advance On-Chain Bond Market Infrastructure

Singapore, Singapore, August twenty seventh, 2026, Chainwire

TermMax, a fixed-rate lending protocol constructed by Term Structure Labs, introduced on August 26 that it has acquired a strategic funding from YZi Labs. Terms weren’t disclosed.

TermMax was chosen for YZi Labs’ EASY Residency Season 3 and has raised greater than $8 million to date. Its earlier backers embody Cumberland DRW — which led the 2023 seed spherical — HashKey Capital, Decima Fund, Longling Capital and MZ Web3 Fund.

The protocol has been stay on mainnet since April 2025 and now runs throughout 10 EVM-compatible chains, with 60 fixed-rate markets, 40 technique vaults, tens of hundreds of thousands of {dollars} in whole worth locked and greater than 1.5 million registered wallets. Keyrock, Hardcore Labs, Edge Capital and Origami function Curators, managing technique vaults on the protocol. The $TMX token accomplished its TGE on August 25.

The investor’s personal public place factors to the hole this funding is supposed to fill. In an August 14 submit describing what it desires to see constructed, YZi Labs wrote that tokenized blue-chip equities have reached significant quantity, however that the monetary utility layer round them — credit score, collateral administration, danger switch and structured merchandise — stays underdeveloped, and that choices and different risk-transfer merchandise particularly stay conspicuously absent.

YZi Labs positioned this funding exactly the place that hole sits.

“When I left banking, there have been a couple of hundred billion {dollars} of belongings sitting on-chain with out a single straight observable rate of interest curve between them. In conventional markets, that may be extraordinary. That is what made me determine to construct this infrastructure on-chain.” – Jerry Li, Co-founder and CEO, TermMax.

Tokenized equities are the fastest-growing asset class on-chain, now at $2.48 billion, with holder depend up 165% in 30 days.

TermMax built-in Ondo Global Markets in January 2026 to launch the primary fixed-rate borrowing market to settle for tokenized U.S. equities as collateral, then added Binance’s bStock. In August it went stay on Robinhood Chain, the place QQQ, SPY and NVDA will be posted towards USDG.

But financing is barely half of what tokenized equities want. Nearly all of this yr’s tokenized-equity infrastructure has gone into perpetual futures, and nearly none into choices.

TermMax Alpha is the place that modifications: bodily supply choices, with no liquidation earlier than expiry. The conversion value is fastened when the place is opened, and the place is settled by bodily supply at expiry. A directionally appropriate place due to this fact can’t be knocked out by a couple of minutes of unstable buying and selling in skinny liquidity — the failure mode that makes perpetuals unsuitable on the illiquid finish of tokenized equities.

This no-liquidation design rests on a selection operating by the entire protocol: when liquidation does occur, it settles by bodily supply, with collateral delivered straight to the lender reasonably than bought into the market. The ordinary assumption — that collateral will be bought at honest worth on demand — holds for ETH and fails for a tokenized fairness with a couple of million {dollars} of depth.

On the institutional aspect, TermPrime accomplished its first stay commerce on Canton Network on the finish of June and has since grown its counterparty community to 9 establishments.

TermMax runs an early validator node on Canton, and TermPrime is prepared to help lending enterprise for establishments there by open markets.

TermMax holds a DeFiSafety Process Quality Review rating of 93%, matching Aave V3.

“What we set out to do isn’t to train conventional establishments DeFi. It is to let DeFi develop into one thing skilled sufficient to genuinely serve finance.” – Jerry Li, Co-founder and CEO, TermMax.

What TermMax desires to be isn’t one other lending protocol, however the on-chain rate of interest curve itself.

About TermMax

TermMax is a fixed-rate, fixed-term borrowing and lending market constructed by Term Structure Labs, stay on mainnet since April 2025 and deployed throughout 10 EVM-compatible chains, the place it runs 60 fixed-rate markets and 40 technique vaults. The protocol splits debt into three tradable tokens: FT (principal), XT (curiosity and possibility worth) and GT (an ERC-721 receipt for leveraged positions). Professional Curators set goal APR ranges throughout remoted markets and handle technique vaults, and liquidations settle by bodily supply of collateral. Co-founder and CEO Jerry Li has 25 years in world monetary markets and served as Managing Director at Deutsche Bank, operating fastened earnings and FX for Greater China.

Website: https://ts.finance/

About YZi Labs

YZi Labs manages over $10 billion in belongings globally. Our funding philosophy emphasizes affect first — we imagine that significant returns will naturally comply with. We put money into ventures at each stage, prioritizing these with strong fundamentals in Web3, AI, and biotech. YZi Labs’ portfolio covers over 300 tasks from over 25 nations throughout six continents. Some notable portfolios embody Trust Wallet, CoinMarketCap, Polygon, Injective, Ethena, SafePal Wallet, Better Payment Network, Aster, XAI, and extra. More than 65 of YZi Labs’ portfolio corporations have gone by our incubation program, EASY Residency. For extra data, comply with YZi Labs on X (@yzilabs).