ZeroBeta and Lynq Add Interest-Bearing Collateral for Institutions

ZeroBeta and Lynq have partnered to let institutional clients pledge tokenized holdings on Lynq for secured borrowing or digital asset margin trading while the assets continue earning interest.

The arrangement uses Lynq’s new collateral-lock feature. ZeroBeta’s BlueShift risk layer sets the terms and monitors margin throughout each position. Lynq holds the pledged assets and follows BlueShift’s instructions to lock or release them.

Tassat’s patented Yield-in-Transit technology calculates and distributes interest in real time while the assets are pledged. The partnership adds borrowing and trading-margin workflows to Lynq’s institutional settlement network. In April, Tassat Group moved the network onto a permissioned Avalanche layer-1, preserving existing positions and integrations.

Lynq is operated by tZERO Securities, an SEC-registered broker-dealer. The platform has more than $89 million in assets and connections to more than 40 institutional digital asset firms.