Credilabs has launched CREDI, a protocol designed to bring private credit markets onto Starknet using encrypted transactions. The platform aims to resolve the conflict between traditional finance's need for confidentiality and the inherent transparency of public blockchains, keeping borrower identities and deal terms private while allowing verification of the underlying math.
The core challenge of putting credit markets on-chain is that transparency can expose sensitive business information. Suppliers borrowing against invoices typically do not want their clients or negotiated payment terms publicly readable. CREDI addresses this by utilizing Starknet's STRK20 framework to encrypt transaction data and manage confidential balances.
Through cryptographic proofs, participants can confirm collateralization ratios, advance rates, and vault accounting accuracy without exposing underlying borrower data. Starknet announced the integration on August 20, 2026, noting that CREDI is part of the foundation's inaugural Proof of Privacy cohort.
To reduce default risks, the settlement architecture routes borrower repayments directly into the vault via Visa settlements, bypassing the borrower to prevent funds from being redirected. CREDI's Ethereum-based operation, which has been active since May 2024, has financed over 1,710 invoices totaling more than $4 million with an average advance rate of 69.78% and zero recorded defaults.
The financed book's realized yield stands at 29.3%, with maturities capped at 60 days. The protocol's $CREDI token serves as a yield-bearing instrument, accruing interest daily with automatic reinvestment. Holders can stake the token for terms between 3 and 24 months, earning a fixed annual interest rate of 12% to 18% backed by the credit portfolios, with a minimum staking entry of $10,000 USDC and an over-the-counter secondary market for liquidity.
