Tenor Finance has launched a fixed-rate lending platform on the Base blockchain, targeting institutional borrowers. The platform is built on Morpho Midnight and includes auto-renewal and over-the-counter (OTC) features, the company announced today.
What the platform offers
The new platform lets institutional borrowers lock in fixed rates for their loans, a departure from the variable-rate models common in DeFi. Auto-renewal means loans can roll over automatically, reducing the need for manual renegotiation. The OTC feature allows for bespoke, off-chain deal structuring while still settling on-chain.
Why Base and Morpho Midnight
Tenor chose Base, Coinbase's layer-2 blockchain, for its low fees and growing institutional adoption. Morpho Midnight, a lending protocol optimized for capital efficiency, provides the underlying infrastructure. The combination aims to give borrowers the predictability of traditional finance with the speed of DeFi.
Institutional focus
The platform is explicitly designed for institutions, not retail users. That means larger loan sizes, compliance-friendly features, and a focus on counterparty risk. Tenor is betting that fixed-rate lending will appeal to firms that need to hedge interest rate exposure or plan cash flows.
The platform is live now on Base. Tenor hasn't disclosed specific borrowers or loan volumes yet, but the launch marks another step in bringing traditional lending mechanics to on-chain markets.
