AUDC supports startup to launch tokenised private credit offering

Australian stablecoin issuer AUDC has selected a local fintech company to integrate its Australian domiciled stablecoin for a tokenised private credit offering via its grant program.

Kasu is a real-world-asset private credit platform that connects loan originators with capital providers, ranging from institutional asset managers to individual stablecoin holders. It is co-founded by Jeremy Coombe and Luke Lombe, who are the principal of Apxium and the founding partner of Faculty Group, respectively.

Users can deploy capital into underlying Australian-dollar lending activity through Kasu's loan-origination partners Apxium and InvoiceMate, and as loans are repaid, users can receive repayments and withdraw their funds in AUDD - AUDC's stablecoin.

Kasu currently supports USDC, which means Australian users and Australian-dollar lending activity may be exposed to unnecessary foreign-exchange movements, and by introducing AUDD, it creates an "Australian-dollar-native pathway".

The pair said the partnership will enable Australians to deposit, lend and withdraw in Australian dollar without carrying currency exchange risk, while providing access to institutional private credit yield that has historically been exclusive to institutional investors.

The model can also expand AUDD across multiple blockchain networks.

Kasu indicated more than half of its historical activity could potentially have been denominated in AUDD if an Australian-dollar-native rail had been available. Further, Kasu's originating partners provide the platform a "strong, genuine" Australian footprint that reinforces the case for an Australian-native rail.

"Australian users may earn a positive return through a lending strategy but still experience losses when converting from USDC back into Australian dollars if the exchange rate moves against them," both parties said.

"Loan-originating partners may also face additional conversion, reconciliation and hedging requirements when the underlying loans are denominated in Australian dollars, but the funding asset is denominated in US dollars.

"The AUDD integration is intended to address this mismatch by creating an Australian-dollar-native lending and settlement pathway. It allows Kasu to build a product that better reflects the natural currency requirements of its users, loan originators and underlying borrowers."

AUDD also noted Kasu's selection addresses the demand for meaningful AUDD adoption.

"Rather than proposing a standalone demonstration or speculative token integration, Kasu intends to place AUDD directly within an operating lending and treasury workflow. The project has measurable success criteria, including integration completion, live user activity and transaction-volume targets," they said.

"The proposal also closely aligns with AUDDapt's objectives: supporting practical products that drive recurring use of an Australian-dollar stablecoin, address a genuine commercial problem, and show how Australian-dollar infrastructure can be applied to global digital markets."

The platform has originated more than $35 million (US$25m) in credit volume, with over $14 million (US$10m) total value locked, and has paid over $1.3 million (US$900,000) in interest to lenders to date.

The announcement follows AUDD's commentary on how stablecoins can unlock access credit instantaneously around the world for Australians.

The AUDDapt grant program supports practical products that create recurring, real-world use of AUDD, and Kasu was selected as a successful applicant to the program's first phase.

The proposed support package is valued at up to 45,000 AUDD, subject to final contract execution and the achievement of agreed milestones.

Under the program, AUDD will also provide technical integration support, assistance with testing and deployment, joint go-to-market planning, and relevant introductions across its ecosystem of institutional participants, treasury operators and real-world-asset platforms.

Both parties are currently finalising the commercial agreement and implementation timetable.