Forum Markets, Incorporated , a digital asset platform focused on modernizing capital markets through blockchain technology, has announced a $10 million revolving warehouse facility agreement. The facility will finance fully secured first-lien auto loans originated through Automatic USA, an automated auto finance platform that works alongside Karus, Inc., an AI-driven credit analytics company in which Forum holds an equity interest. Through this initiative, the company aims to strengthen its strategy of bringing real-world financial assets onto blockchain networks.
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The new facility is expected to support the aggregation of high-quality, short-duration auto loan receivables. These receivables will become part of Forum’s broader plan to originate, structure, and eventually tokenize institutional-grade credit assets on the blockchain. By doing so, the company intends to bridge traditional lending with digital asset infrastructure while generating immediate returns from secured warehouse lending.
Structured as a 12-month revolving facility, the agreement provides scalable capital that can fund fully secured auto loans right at the point of origination. Loans financed through this facility are designed for short holding periods of about seven to ten business days before being sold forward to long-term buyers. These buyers may include Forum itself as well as its affiliated tokenization subsidiaries. According to the company, this structure is expected to deliver an annualized yield between 12% and 13%, creating a strong income stream independent of the timing of future token issuance.
Automatic USA plays a key role in this ecosystem by automating dealer-level loan applications and streamlining the financing process for auto dealers. Working with Karus, the platform analyzes borrower data and provides credit decisions within minutes using artificial intelligence. By integrating AI underwriting with embedded warehouse capital and blockchain-based settlement infrastructure, Forum expects to enable instant capital deployment to auto dealer networks at any time of the day, every day of the year.
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This initiative also highlights Forum’s larger ambition to embed blockchain technology directly into the primary funding process. Traditionally, warehouse lending models have relied on fragmented and delayed settlement systems. Forum’s approach introduces a real-time, blockchain-native framework that allows loans to be financed, settled, and eventually distributed to investors more efficiently.
Company leadership believes that combining AI-driven credit analytics with blockchain infrastructure can significantly modernize how loans are originated and distributed. By integrating Karus’ underwriting capabilities with Forum’s blockchain platform, the company aims to create a repeatable pipeline connecting auto dealers with both traditional loan buyers and emerging on-chain capital markets.
The settlement partner supporting this facility is Liquidity.io, which provides blockchain infrastructure to enable continuous settlement. Transactions within the facility are collateralized by the Texas Capital Bank Government Money Market ETF (MMKT), adding a layer of financial stability to the settlement framework.
In addition to supporting loan origination, the facility is expected to strengthen the yield profile of Forum’s upcoming tokenized auto loan products. Interest income generated from the warehouse lending activity will be combined with auto loans sourced from Karus-related pipelines. While auto loans held for longer durations typically generate high single-digit returns, the warehouse lending component is projected to deliver annualized yields of around 12% to 13%. This blended structure could enhance overall returns for investors participating in future tokenized products.
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Forum’s broader business model focuses on generating value at multiple stages of the asset lifecycle. The company expects to benefit not only from yields on assets prior to tokenization but also from origination and structuring economics, asset management revenue, and transaction-based income as liquidity develops in secondary markets.
The newly established warehouse facility also serves as a proof of concept for Forum’s technology-driven lending infrastructure. By aligning AI-powered underwriting, revolving credit capacity, and blockchain-based settlement systems, the company is building a scalable model that could be applied to other asset classes in the future. Ultimately, Forum aims to accelerate the development of institutional-grade real-world assets that can be issued, traded, and managed on-chain.
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