EtherFi launches $100M Liquid RWA vault with 7.25% yield

A new financial product connecting decentralized finance users with institutional investment strategies has launched through a partnership between the yield platform EtherFi and the infrastructure provider Plume. EtherFi has allocated $100 million to power the initiative, which is now live through the EtherFi application.

The product, called EtherFi Liquid RWA, is structured as a vault for stablecoin deposits. It is designed to provide users with exposure to yields from traditional financial markets, including fixed-income products and institutional credit strategies. The vault has an initial deposit cap of $25 million and offers a variable annual percentage yield, which sources indicate is currently positioned at 7.25%. Officials emphasize that this yield is variable and not guaranteed.

The initial capital allocation includes a diversified basket of regulated instruments, such as BlackRock’s iShares AAA CLO ETF, the Fidelity Total Bond ETF, and a credit pool managed by FalconX. This marks an expansion for EtherFi, which has over $6 billion in customer deposits, moving its yield offerings beyond purely crypto-native strategies.

A key feature of the new vault is its integration...