Gearbox Protocol

Institutional-grade, no-code lending infrastructure for tokenised assets and RWAs.

Real-World Assets need Real-World Lending.

[Gearbox Protocol @GearboxProtocol]

Automated Leverage for @MidasRWA's mF-ONE and mGLOBAL, managed by @FasanaraCapital, is now live on Gearbox

Eligible users can access one-click leverage and one window redemptions by borrowing @fraxfinance's frxUSD

No waiting, no looping: real RWA leverage. Curated by @kpk

[Robbie Klages @robbieklages]

Teams are going to run the same playbook we ran in DeFi summer, but do it on high quality assets.

Assets that aren't generating 9-12% via token inflation and emissions. High quality income products that are securities. It's 2026.. We can have securities onchain.

We sat down with Ilgiz from Gearbox and Sean from Frax on the show a couple weeks back to talk through how tokenized income funds actually plug into DeFi.

Gearbox has been building credit accounts since 2021, long before there were real assets to put in them. Now the assets are here.

[KPK @kpk_io]

Most Balancer v3 pools move to withdrawals-only today.

Ahead of this, KPK offboarded Beefy-Balancer collateral (rETH, osETH and tETH liquidity positions) from @GearboxProtocol WETH and wstETH pools.

[apeir99n @apeir99n]

@GearboxProtocol bot infra already solved this. Keep ownership over your funds. Agents get permissions, not custody.

Fully onchain. Secured by the most battle-tested settlement layer.

[Gearbox Protocol @GearboxProtocol]

Holding an RWA is step one. Putting it to work is the next.

@theorem_markets now routes mGLOBAL holders directly to Gearbox leverage markets.

With @MidasRWA’s mint window now open, users can again leverage and exit mGLOBAL, all within one window.

[theorem. @theorem_markets]

Tokenized assets are more useful when you can do more than just trade them.

On Theorem, asset pages now show what you can do with an asset in DeFi, starting with @GearboxProtocol.

For @MidasRWA’s mGLOBAL, users can jump directly from Theorem to Gearbox to open a leveraged position and further boost their yield.

The integration is now live on @ethereum:
https://t.co/k73srdhImG

[theorem. @theorem_markets]

Tokenized assets are more useful when you can do more than just trade them.

On Theorem, asset pages now show what you can do with an asset in DeFi, starting with @GearboxProtocol.

For @MidasRWA’s mGLOBAL, users can jump directly from Theorem to Gearbox to open a leveraged position and further boost their yield.

The integration is now live on @ethereum:
https://t.co/k73srdhImG

[Frax Finance ¤⛓️¤ @fraxfinance]

Catch our VP of Partnerships and Comms, @SeanKelleyX, on The Rollup now, talking about our partnership with @GearboxProtocol to unlock RWA leverage and how big this product can get.
https://t.co/FrIOety7IM

[Gearbox Protocol @GearboxProtocol]

@fraxfinance @mugglesect frxUSD as the base currency of all tokenised assets is the simple goal.

[Muggles⚙️🧰 @mugglesect]

If you believe tokenisation is the next big thing, then for a stablecoin the end game becomes being accepted as currency by the largest issuers.

And Frax just beat Tether, Paxos and Ripple to be accepted by one of the most coveted issuers, Midas. Becoming only the 2nd stable after USDC to be accepted by Midas for mF-ONE, and soon mGLOBAL.

Gearbox's leverage mechanism was designed not just around how we can offer best-in-class leverage UX to borrowers, but also around how we can offer a better lifecycle to the stables that get borrowed.

Currently, most lending protocols treat stablecoins as routing inventory rather than as currency. Borrowers borrow them from a pool and dump them to buy another asset they want to leverage. This creates three structural consequences:

1. Persistent sell pressure: Borrow-driven swaps generate continuous mechanical sell pressure.
2. Paying for the sell pressure: Scaling borrowing requires deep DEX liquidity. Issuers spend millions every year to ensure the stable can be sold at low slippage.
3. No institutional acceptance: The stable never reaches the issuer.

The stablecoin never becomes embedded in real economic activity. The stablecoin team can't BD their way into getting the issuer to hold their stable as liquidity or use it to pay the underlying institutions. The existing mechanism effectively kills any possibility of the stable finding institutional adoption or being integrated into the issuer's payments side.

Gearbox's leverage design was meant to change this. Instead of swapping the stablecoin for another asset, Gearbox developed a leveraged minting mechanism. When a borrower mints the RWA with leverage, they also deposit the stablecoin with the issuer, as we see with frxUSD being deposited at Midas.

This eliminates any additional DEX liquidity costs, gains the stablecoin institutional adoption and opens up pathways for its BD team to negotiate for more and find organic holders and utility.

Borrowers pay no slippage and access automated RWA leverage, the issuer sees minting increase, and the stable saves millions and gets institutional adoption. A truly win-win-win mechanism.

Retokenise the world.

[The Rollup @therollupco]

Frax and Gearbox now let you borrow against tokenized real-world assets in one click, the first step toward doing the same with stock tokens.

@robbieklages on a new @fraxfinance $FRAX and @GearboxProtocol $GEAR integration that just went live.

[Frax Finance ¤⛓️¤ @fraxfinance]

Step 1: Tokenize the world
Step 2: Pair the tokens with frxUSD
Step 3: Automate leverage with @GearboxProtocol
Step 4: Profit

[Gearbox Protocol @GearboxProtocol]

@AlchemixFi @furthermoOor And never going away!

[Gearbox Protocol @GearboxProtocol]

@StableTableDeFi @Marcus_Balancer @MidasRWA @FasanaraCapital @fraxfinance @kpk No just back to the drawing board to build the best leverage experience for tokenised securities and assets

[Gearbox Protocol @GearboxProtocol]

Automated Leverage for @MidasRWA's mF-ONE and mGLOBAL, managed by @FasanaraCapital, is now live on Gearbox

Eligible users can access one-click leverage and one window redemptions by borrowing @fraxfinance's frxUSD

No waiting, no looping: real RWA leverage. Curated by @kpk

[Gelat0x @Gelat0x]

This deep dive from @cryptographicas about one click RWA leverage by @GearboxProtocol is an excellent read, and I think it deserves even more attention.

Starting with the RWA assets: @MidasRWA brought mF-ONE and mGLOBAL, selected and managed by
@FasanaraCapital, a multi-billion AUM institutional credit house. mF-ONE gives onchain exposure to Fasanara’s F-ONE diversified private credit book. mGLOBAL tracks their short-duration alternative debt strategy: trade receivables, invoices, real economy credit. That forms institutional grade Real world yield assets.

Then the dollar $frxUSD: now a mint asset for @MidasRWA’s mF-ONE, and besides USDC, the only stablecoin with that status. Built by @fraxfinance: fully backed by cash-equivalent reserves like BUIDL or WTGXX, which makes it always fiat-redeemable, and matching the GENIUS standard. Important to mention here is the ReserveLink: Yield from $frxUSD’s T-bill reserves gets shared back into DeFi, so partners deepen liquidity from real safe collateral instead of mercenary incentives.

Then the curator @kpk: One of the most disciplined Asset management teams in DeFi, the kind of curation you want when KYC, redemptions, and liquidation logic actually matter.

You can feel that every piece in this stack was carefully chosen.

Gearbox solved the UX issue.
Partners involved accelerating it.

[Gearbox Protocol @GearboxProtocol]

Automated Leverage for @MidasRWA's mF-ONE and mGLOBAL, managed by @FasanaraCapital, is now live on Gearbox

Eligible users can access one-click leverage and one window redemptions by borrowing @fraxfinance's frxUSD

No waiting, no looping: real RWA leverage. Curated by @kpk

[Gearbox Protocol @GearboxProtocol]

@cryptographicas This is an absolutely incredible explanation. Truly appreciate this.

Retokenize the world.

[Gearbox Protocol @GearboxProtocol]

@0xPutAmaterasu @MidasRWA @FasanaraCapital @fraxfinance @kpk And KPK has designed the risks exactly around this with low initial limits and scaling as liquidators scale. Their analysis on drawdowns and preparations of LTVs is also state-of-the-art.

Kudos to @jerrythekid @kpk_io @deepcryptodive

[cryptographic 🦞 @cryptographicas]

Gearbox is a great example of why you shouldn’t confuse lack of attention with lack of progress, the market hasn’t exactly treated them kindly, but while everyone moved onto the next narrative they just kept grafting on the same core architecture.

This RWA leverage solution they’ve just released is where that strategy is really going to pay off imo.

I’ve spent a bunch of time looking into the different approaches being built here but what @GearboxProtocol has done is by far the most elegant design I’ve seen.

It’s not just better looping ux, looping naturally assumes the underlying asset is liquid and everything settles atomically so you borrow, buy the asset, deposit it again and repeat, which is great for crypto native assets but doesn’t really work for RWAs where you have different redemption timelines, transfer restrictions, KYC requirements and in a lot of cases barely any secondary liquidity.

So gearbox gets around all these issues by using the credit account to borrow the full amount upfront and subscribe directly with the issuer.

Instead of needing 5 or 10 or however many separate loops and waiting through the settlement process each time, you can create the entire leveraged position in one go and redeem the entire thing in one go on the way out.

What I really like about this is that leverage no longer needs to depend on secondary market liquidity to the same extent, because it was always pretty silly to expect an issuer to bootstrap $50m or $100m of dex liquidity before people can take levered positions on the asset.

With this model the position can scale against available credit instead because the credit account is interacting directly with the issuer, which means the lending side can support assets that would have been impossible or just really inefficient to support through the normal loop model.

Even the asset specific stuff like KYC, transfer restrictions, redemption and specialised liquidation logic can sit inside gearbox’s infra rather than the lending protocol having to figure all of that out.

And because gearbox is separating the asset specific execution and risk machinery from the funding layer, I think the bottleneck for lending protocols changes quite a bit too.

Because the problem is no longer whether an asset has enough secondary liquidity to be listed and what really starts to matter is whether somebody can actually originate good borrow demand against the liquidity sitting there.

If an issuer can bring the asset, gearbox can handle the market specific plumbing and a lending protocol can provide the funding, which is just a more efficient way of creating leverage around assets that never really fit the normal money market model in the first place.

These guys have done a great job of addressing the actual market specific pain points and creating a structure where everybody wins, RWA issuers get leveraged distribution without needing deep secondary markets first, stablecoins get a new structural source of borrow demand and lending protocols get access to a much wider set of credit opportunities.

What I’m really excited to see now is how much leverage this can support in practice, because if you can get a decent amount of leverage on assets that were basically unleveragable before then you open up a pretty massive new market.

Really excited to see how this plays out and wishing the chads at gearbox all the best with this launch.

[Gearbox Protocol @GearboxProtocol]

@Decentralisedco Truly appreciate this. A lot more to come

[DCo @Decentralisedco]

Much respect for the good folks at Gearbox for iterating, pivoting and re-inventing themselves in the middle of a bear market.

There's chewing glass, and then there's whatever the crew here has been doing.

[Frax @Frax]

Frax and @GearboxProtocol launch automated one-click RWA leverage powered by frxUSD.

Starting with @MidasRWA mF-ONE, managed by @FasanaraCapital. The first of many more to come.

Curated by @kpk_io.