What 3Jane does

The company provides credit facilities and forward flow arrangements across consumer loans, small business loans and MCAs. It previously extended a $10 million senior warehouse facility to consumer lender LendSwift. It followed that with an inaugural $8.5 million purchase of small business loans from Slope, an embedded credit infrastructure provider. Its purchases of Slope's embedded finance products have since reached a total of $60 million.

On the funding side, 3Jane runs a protocol that issues a credit-backed "yieldcoin," which investors can mint on Ethereum. Its yield is tied to warehouse facilities, forward flow programs and credit lines. Minting is not open to US investors, though the company's capital markets offerings focus exclusively on North America.

The pitch to funders

Founder Jacob Chudnovsky, a software engineer who entered DeFi in 2020, said he concluded around 2024 that credit was underdeveloped in crypto, on both the capital aggregation and distribution sides. 3Jane began with unsecured credit lines for US crypto holders before moving into its current model.

Borrowers do not need crypto expertise, he said. 3Jane handles that layer while underwriting the risk and running what is otherwise a conventional capital markets deal. Chudnovsky said the infrastructure is sturdy enough that 3Jane can be a lender's first and last facility.

He sees demand among MCA operators in particular. Warehouse facilities make sense for growing operators that need leverage, he said, and forward flow arrangements do to a lesser extent, "as long as you are cognizant of the risks."

Blockchain-based capital markets are showing up elsewhere in the industry too, including a warehouse line investors can now access through Figure.

Source reporting: deBanked.