# What we do

## Introduction

Building on its foundation of transparency, smart contract automation, and permissioned access to debt markets, MZF PROTOCOL is uniquely positioned to serve the most underserved segment in Web3 finance: Pre-TGE funding. By combining alternative debt instruments with token-native underwriting and real-time on-chain monitoring, the protocol facilitates access to flexible capital structures that empower startups while protecting lenders. What follows is a breakdown of MZF PROTOCOL’s verticals and core innovations.

MZF PROTOCOL is a decentralised capital deployment platform bridging the gap between real-world debt markets and blockchain infrastructure. Using a utility token ($MZF) and automated smart contracts, the protocol enables secure, permissioned access to debt opportunities that were previously gated, opaque, and operationally inefficient.

At the core of the protocol is a commitment to transparency, investor protection, and accessibility — helping shape a future where flexible capital structures are available globally, without requiring traditional intermediaries.

### Debt Innovation Across Three Core Lending Verticals

MZF targets three key verticals in alternative lending: DeFi-Enabled Loans, Mezzanine Financing, and Venture Debt. Each vertical addresses existing inefficiencies in the traditional lending landscape by leveraging the benefits of on-chain infrastructure.

#### DeFi-Enabled Loans – Fast, Flexible Financing for Real-World Borrowers

Traditional small business and growth-stage financing solutions are slow to deploy, operationally expensive, and limited in flexibility. Borrowers are often forced to navigate lengthy due diligence processes and rigid underwriting requirements, while investors face illiquidity and poor visibility into loan performance.

MZF introduces blockchain-native loans that prioritise speed, transparency, and customisable repayment structures. By enabling verified participants to fund real-world obligations through smart contracts, DeFi-enabled loans unlock new forms of scalable, short-term financing.

**Loan Types in This Vertical:**

* Token Rights Loans: Digital assets (e.g., stablecoins, wrapped tokens) are collateralised to access short-term capital. Suitable for high-frequency users in need of liquidity without asset liquidation.
* Revenue-Based Financing: Repayments are linked to borrower revenues (e.g., a fixed % of monthly income), offering flexible terms aligned with business performance and cash flow cycles.

#### Mezzanine Financing – On-Chain Structuring for Complex Capital Needs

Complex capital structures such as real estate developments or leveraged growth transactions often require bespoke debt instruments. These mid-tier deals fall between bank loans and equity, but sourcing them is limited to institutional players with specialist structuring capabilities.

MZF PROTOCOL’s infrastructure automates mezzanine deployment via milestone-based smart contracts, enabling tokenised participation in traditionally illiquid, high-yield debt. KYC gating ensures investor protection and regulatory alignment, while transparent on-chain flows enable real-time monitoring of deal health.

**Loan Types in This Vertical:**

* Mezzanine Financing: Subordinated debt layered between senior loans and equity, structured with fixed or variable interest and occasional equity kickers.
* Fixed-Term Loans: Customisable loans issued for defined durations with interest-only or amortising terms. Ideal for asset-backed financing or cash flow smoothing.

#### Venture Debt – Non-Dilutive Credit for Token-Bound Startups

Startups often raise equity capital without the optionality of structured debt, resulting in excessive dilution. Meanwhile, traditional venture lenders operate behind closed networks, with underwriting based on asymmetric access to startup performance data.

MZF PROTOCOL brings curated venture debt opportunities on-chain, giving verified token holders access to structured startup financing while preserving founder equity. Protocol staking mechanisms help align incentives and support compliant access to venture credit markets.

**Loan Types in This Vertical:**

* Venture Debt: Non-dilutive loans issued to startups that have already raised equity. Typically secured by company assets and paired with warrant coverage for lender upside.
* Convertible Debt: Hybrid instruments that start as loans but may convert into equity upon predefined triggers (e.g., next funding round). Offers both downside protection and upside optionality.

### MZF PROTOCOL’s Approach

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Together, these features position MZF PROTOCOL as a compliant, modular, and scalable solution for global debt deployment — designed to evolve with market needs while preserving the integrity of on-chain capital formation.
