RWAs Integrating Elixir + deUSD
Elixir powers native liquidity for RWAs, making them DeFi-compatible
Currently, many RWAs:
Can't be minted or redeemed onchain
Can't be used in Morpho or other lend/borrows, given the 1mo redemption time
Have little native liquidity onchain (it's not worth it for issuers to bootstrap for each individual fund)
Elixir solves these, creating deep onchain liquidity for the funds.
The issuer integrates Elixir, which serves as the liquidator on lend/borrow markets, enables AMM liquidity (through deUSD's existing liqudity), and power instant native onchain mint/redeem for the assets.
The integrating RWA also directly allocates to deUSD within their fund.
Here’s how it works:
Using Hamilton Lane SCOPE as an example, which has integrated Elixir:
Hamilton Lane SCOPE allocates ~5% of AUM to deUSD, which they earn yield on
Elixir converts a portion of deUSD’s backing into HLSCOPE (with a healthy LTV)
Elixir enables onchain instant mint/redeem capability for the fund using the buffer
Elixir can serve as the liquidator on lending markets, acquiring HLSCOPE without users having to unwind the positions
HLSCOPE holders will be able to route through deUSD’s AMM liquidity (e.g. for people looking to sell for USDC), through Elixir’s integration with aggregators
Elixir powers instant liquidity for the institutional on-chain economy.
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