Dubai, UAE, December 8th, 2025, Chainwire
- Follows a first-of-its-kind pilot with Franklin Templeton, Zodia Custody, Avalanche, and CMS. The pilot shows that two-party loans can be enforced inside digital asset custody
- Debut at Abu Dhabi Finance Week 2025 shows a big step forward for how large firms borrow and lend
SemiLiquid today launched its Programmable Credit Protocol (PCP). SemiLiquid builds credit tools for large firms that work right inside custody. The launch took place at Abu Dhabi Finance Week 2025.
The new system lets big firms borrow against digital and tokenized assets they hold in custody. They do not need to move the collateral. This is a key step for digital capital markets.
The protocol was built and launched in Abu Dhabi. It is now set to roll out around the world. This shows the emirate’s rise as a top hub for digital assets and new ideas in finance.
The Pilot Behind the Launch
The launch is backed by a successful pilot with Franklin Templeton, Zodia Custody, Avalanche, Presto Labs, M11 Credit, Oasis Foundation & CMS.
In the pilot, BENJI was used as collateral. BENJI is Franklin Templeton’s tokenized money-market fund, and it pays yield each day. It stayed encumbered, or locked as security, for the full life of the loan. Terms set in advance and automatic triggers ran the process.
This test let firms keep their full daily yield. At the same time, lenders got security over the assets that they could enforce. This took away the risk of the other side failing to pay, and no collateral had to move.
What the Partners Said
“Programmable assets require programmable credit,” said Rico van der Veen, Co-Founder and CEO of SemiLiquid.
“PCP delivers the missing rail that institutions need – a standardized, custody-native & shared legal framework that merges the trust of traditional finance with the efficiency of programmable assets. This marks a shift from incremental upgrades to foundational infrastructure for institutional credit.
Abu Dhabi Global Market’s environment has enabled us to develop our solution within a risk-aware framework optimized for digital asset innovation. ”
“SemiLiquid’s PCP brings together innovative industry leaders in an effort to address the inefficiencies in institutional credit,” said Anoosh Arevshatian, Chief Product Officer at Zodia Custody.
“Through our participation, Zodia Custody hopes to establish custodial infrastructure as the trust layer for scalable and programmable credit.”
“Programmable credit demonstrates how institutional lending can operate natively within custody without compromising enforceability, compliance, or settlement speed.
Avalanche’s high-performance, institutional-grade infrastructure, combined with SemiLiquid’s programmable credit protocol, creates a clear path to scaling institutional adoption – developed in a region that has become a launchpad for next-generation on-chain financial markets,” said Khalid Dannish, Head of MENA at Ava Labs.
“Private credit is going digital, and this pilot proves how it can be done legally and compliantly,” said Matthew Nyman, Digital Assets Lead at CMS.
“CMS is proud to support the infrastructure bringing automated, custody-native credit to institutional markets.”
Why Credit Needs New Rails
Tokenised assets are projected to reach $10 trillion by 2030. Yet the tools for credit are still stuck in old ways of working.
More than 70% of two-party loans between big firms still need custom paperwork for each deal & collateral transfers. These moves run across many separate accounts and systems. That adds risk and slows things down. As a result, tokenized assets cannot yet work as collateral at scale.
Next Steps: Phase II in Early 2026
SemiLiquid’s pilot has shown that the technology & legal framework is mature and institutions are ready. The company is now moving to Phase II. It launches in early 2026. Phase II will add more custodians, more types of collateral, and more countries.
Later, it will add loans that need less collateral. These will be backed by checked proof that a borrower can pay. It will also add one shared way to enforce deals across markets.
“Credit is the lifeblood of capital markets,” added Rico van der Veen, Co-Founder and CEO of SemiLiquid.
“With PCP, programmable credit has arrived – and it’s ready for institutional deployment.”
For more information, users can visit source
Related reading: Ripple and SettleMint partner on institutional custody and tokenization and our explainer on what a blockchain is.
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About SemiLiquid
SemiLiquid builds the tools for the next stage of credit for large firms. Its tools run inside custody. Its Programmable Credit Protocol (PCP) makes two-party lending standard and automatic. It brings the trust of traditional finance and the speed of programmable markets into one compliant credit system that works with others.
About Zodia Custody
Zodia Custody is a digital assets platform built first for large firms. It has support from Standard Chartered, in association with Northern Trust, SBI Holdings, National Australia Bank, and Emirates NBD.
Zodia Custody offers custody, treasury, and settlement tools. Together, these help big investors around the globe get the most from digital assets. It aims to do this simply, safely, and without compromise.
Zodia Custody is registered with the Financial Conduct Authority, Central Bank of Ireland, Commission de Surveillance du Secteur Financier, and holds a licence with the Hong Kong Companies Registry.
Zodia Custody implements the requirements of the 5AMLD and applies the same standards as Standard Chartered relating to AML, FCC, and KYC. It implements the requirements of the FATF Travel Rule. Its registrations include:
- Zodia Custody Limited is registered in the UK with the FCA as a crypto asset business under the Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017.
- Zodia Custody (Ireland) Limited is registered with the Central Bank of Ireland as a VASP under Criminal Justice (Money Laundering and Terrorist Financing) Act 2010 (as amended). It was established in Ireland in August 2021.
- Zodia Custody (Ireland) Limited is registered with the CSSF in Luxembourg as a Virtual Asset Service Provider. This is under article 7-1 (2) of the law dated 12 November 2004 on the fight against money laundering and terrorist financing, as amended.
- Zodia Custody (Hong Kong) Limited is registered with the Registry for Trust and Company Service Provider with License Number TC009245. This is under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO), Cap. 615. It covers its custody work in digital assets.
For further information on Zodia Custody, users can visit: https://zodia-custody.com/
Contact
Account Manager
Vinita Kullai
YAP Global
vinita@yapglobal.com
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