By
John Broadley
Oct 27, 2025
RWA Adoption
The Growth of Private Credit
Private credit — particularly asset-based finance (ABF) such as SME lending, invoice receivables, consumer, and trade-finance facilities — has become one of the fastest-growing institutional strategies, valued for its uncorrelated yield, minimum volatility and short-duration cash cycles,
Global footprint: Morgan Stanley predict that Assets under management will reach $2.8 trillion by Q2 2024 (U.S. $1.34T), a nearly 5× increase since 2009.
Capital flows: Since fundraising hit $166B in 2024, direct-lending activity has since expanded per McKinsey’s Global Private Markets Report 2025.
Retail demand: In H1 2025 alone, U.S. investors committed a record $48B to private-credit funds. In Europe, evergreen private-credit funds doubled YoY to €24B, per the Financial Times (Aug 31, 2025).
On-chain, the story is accelerating even faster: tokenized private credit outstanding grew from ~$14B in June 2025 to ~$15.9B by the end of August—a 13% jump in just two months (The Defiant, June 2025).
BlackRock recently named private credit a strategic growth pillar, highlighting its central role in global capital markets. Analysts project the sector could surpass $2-3 trillion by 2028.
What Tokenization Unlocks
Tokenization turns RWAs; whether treasury bills, private credit receivables, or institutional funds—into programmable, composable tokens.
For investors: liquidity, fractional access, and transparent reporting.
For DeFi: collateral that can be looped, lent against, and integrated into new strategies.
For institutions: verifiable data flows, daily NAV updates, and proof-of-reserves.
Yet issuance alone is not enough. Scaling RWAs requires robust oracle infrastructure to deliver reliably and securely NAV pricing, proof-of-reserve attestations, and tamper-proof settlement; without which DeFi integrations would lack both transparency and safety.
Why Private Credit is Built for Tokenization
Private credit’s unique characteristics—short-duration receivables, repeatable cash flows, and scalable portfolios—make it ideally suited for tokenization.
From a macro view, private credit sits within the $400 trillion global RWA market. Today, only ~$15B is tokenized—0.00375% of the total. Boston Consulting Group projects that by 2030, 10% of global GDP (~$16T) could migrate on-chain.
Built by Midas and Fasanara, and secured by EO’s oracle network, mF-ONE demonstrates how institutional-grade private credit can be scaled into DeFi with transparency, composability, and institutional confidence. A strategy which has surpassed $100M in TVL in just 2 months, continues to grow and now amongst the top institutional tokenized funds globally (source: RWA.xyz).
EO in Action: The mF-ONE Strategy & Milestones
mF-ONE is a tokenized fund strategy designed to bridge Fasanara’s flagship F-ONE private credit portfolio into DeFi. It combines:
Diversification across receivables, liquid credit, and delta-neutral strategies.
Liquidity through a built-in sleeve of tokenized T-Bills.
Transparency via daily NAV updates delivered on-chain by EO Network and Midas public reports.
Composability with integrations across Morpho & Euler.
In just over two months, mF-ONE attracted $100M TVL and an institutional investor base, proving that private credit can scale as a productive on-chain collateral. Investors gain access to stable low-volatility yield, double-digit APYs with daily, verifiable reporting, while DeFi protocols gain a composable building block.
As Fasanara notes: “mF-ONE is designed for liquidity, transparency, and composability across DeFi.”
The Market on Morpho - mF-ONE / USDC (Morpho InterfaceMorpho | mF-ONE/USDC market)
The Trust Stack
The mF-ONE model showcases the full trust stack:
Asset Pool Creation (Fasanara): Diversified pool of receivables, tokenized T-Bills, and delta-neutral strategies.
On-Chain Representation (Midas): Tokenization of fund shares into mF-ONE.
Data Integrity (EO Network): Real-time NAV and price feeds delivered on-chain, secured by a decentralized oracle network.
DeFi Composability: Usage as collateral on Morpho vaults and more.
Investor Experience: Consistent yields, daily reporting, and seamless access to liquidity.
Curators: Making mF-ONE Work in DeFi
In the mF-ONE/USDC vault on Morpho, curators such as Steakhouse, MEV Capital, and Gauntlet design strategies that translate private credit into safe, composable collateral..
Here’s how it works: when an investor deposits mF-ONE, its NAV is verified on-chain through EO’s oracle. That collateral may allow, for example, a $845K loan against $1M in mF-ONE. Borrowed USDC can then be redeployed into other markets, looped to amplify yield, or rebalanced across other pools.
Steakhouse ensures that mF-ONE’s liquidity sleeve and NAV oracle fit DeFi risk standards.
MEV Capital optimizes allocations across markets, capturing yield spreads while managing exposure.
Gauntlet uses simulation-driven risk engines to set safe leverage ratios and liquidation thresholds.
Together, they rely on EO’s decentralized oracles to keep borrowing limits, loops, and liquidations aligned with real-world value. This is how institutional private credit becomes safe, scalable collateral for DeFi.
Why Oracles Are Mission-Critical
For institutions like Fasanara, the daily NAV published on-chain through an oracle is the core trust anchor. Oracle infrastructure transforms tokenized fund shares from static representations into composable DeFi assets. EO Network’s daily NAV feed synchronizes off-chain valuations and on-chain state, enabling accurate collateralization and real-time transparency.
A reliable oracle ensures:
Price integrity at all times.
Synchronization between off-chain NAV & on-chain tokens.
Integration with DeFi protocols, such as Morpho vaults, where mF-ONE is already being used.
Accurate NAV & price discovery. The BIS highlights that private markets suffer from opacity; oracle-fed NAV data delivers the essential trust layer.
Risk controls. IOSCO warns of mispricing risks when oracle data is stale or inaccurate; failures that can cause bad liquidations.
Operational transparency. The IMF stresses the interconnectedness of private credit; oracles mitigate opacity by proving NAV, reserves, and repayments.
Proven adoption. From Hamilton Lane to mF-ONE, leading institutional products now rely on decentralized oracle feeds for safe scaling.
Dennis Dinkelmeyer, Midas CEO: “EO Network is a team that truly delivers. From our experience collaborating on mF-ONE - our first tokenized private credit asset - we trusted them because they are proactive, fast, and laser-focused. When building at the frontier of innovation, you want a partner like EO Network by your side.”
EO Network’s CTO, Uri Margalit states: “Both Midas and Fasanara emphasize quality in every deliverable they produce. This aligns with the EO Network philosophy, making it an incredible journey in the innovation path of blending DeFi and RWA strategies with such exceptional partners.”
The Transparency Standard
Transparency is critical for both investors and regulators. Tokenized private credit must meet the disclosure standards of traditional fund vehicles, and mF-ONE has set a new benchmark:
Every NAV update, redemption sleeve size, and TVL is published on-chain via dashboards like Dune and Steakhouse.
LPs can verify valuations are fair, updated daily, and aligned with on-chain activity.
Regulators gain visibility through a verifiable data trail, differentiating mF-ONE from opaque alternatives.
This transparency not only satisfies compliance standards but also aligns on-chain markets with institutional expectations, setting mF-ONE apart as a new model for tokenized private credit.
The Role of Oracles in Scaling Tokenization
As Fasanara emphasizes: “Oracles serve as the key TradFi × DeFi bridge.”
Tokenization only scales if on-chain tokens can be used as collateral, traded, and integrated into DeFi protocols. Oracles provide the consistent, tamper-proof NAV feeds required for: Lending and leverage, risk management and automated settlement across protocols
With EO Network’s infrastructure, tokenized funds like mF-ONE move beyond static wrappers to become fully composable building blocks of on-chain finance.
Looking Ahead: Fasanara’s Tokenization Strategy
Fasanara’s tokenization strategy is focused on broadening investor access to best-in-class offerings. Over the next 12–24 months, the roadmap includes:
Expanding beyond mF-ONE to offer diversified strategies and broaden LP bases.
Deeper integrations into DeFi lending and liquidity protocols.
Creating tailored, bespoke products that match the demand of on-chain LPs.
Infrastructure like EO Network’s oracle stack will be critical in scaling this vision, ensuring that every new strategy launched remains transparent, verifiable, and DeFi-ready.
EO Network is unlocking institutional DeFi liquidity by powering RWA tokenization and advanced yield strategies through tamper-proof NAV data. Find out more on our website: eo.app
