Cap Labs
13 known investors
Cap is a three-sided onchain platform for USD yield, private credit and financial guarantees, headquartered in New York.
Also known as Cap · Cap Labs · CAP Labs
Investors · 13
Also in the syndicate · 1
Funding
SEC filings, press & company announcements- Undisclosed amountseed roundApr 2025
Franklin Templeton, Triton Capital
Source ↗
Source: company announcements and press reports — follow each round's link for the claim.
Company profile
researched Aug 2026Cap (Cap Labs) operates a platform that connects depositors, borrowers and underwriters around dollar-denominated yield. Depositors place approved assets and receive cUSD, a token accounting for their deposits, on which they earn USD yield; borrowers take covered credit loans; and underwriters supply capital that backs financial guarantees on the credit extended, earning an underwriter premium. Underwriters and borrowers listed on the company's site include Renzo pzETH, Concrete and StakeStone, the latter acting both as underwriter and borrower.
The company describes its product as a stablecoin engine that draws yield from both crypto-native sources, such as funding-rate arbitrage and token farming, and from traditional financial operators including high-frequency trading firms and private credit funds, with the intent of making those strategies accessible to ordinary users. The design also allows users to earn additional yield through restaking protocols such as EigenLayer. Cap frames its market opportunity around private credit, which it describes as having grown from roughly $2 trillion in 2020 to $3.5 trillion, a gap opened as banks retreated from middle-market lending after 2008.
Founding story
Benjamin Lenz is the founder of Cap Labs.
Business model
Cap intermediates between three participant groups: depositors who supply assets and receive cUSD in exchange for USD yield, borrowers who draw covered credit loans, and underwriters who commit capital to guarantee that credit in return for an underwriter premium. Yield is generated by a collective of operators with specialized skills, spanning crypto-native strategies and traditional institutional strategies such as high-frequency trading and private credit.
Traction
Investors in the seed round included trading and financial firms Flow Traders, Nomura's Laser Digital, GSR, IMC Trading and Nonce Classic. Flow Traders subsequently began borrowing stablecoins through Cap, via Lombard, to support its digital asset market-making operations. Named underwriters and borrowers on the platform include Renzo pzETH, Concrete and StakeStone. The company publishes quarterly investor reports, the most recent being its Q2 2026 update.
Latest developments
Flow Traders began using Cap to access onchain credit via Lombard for its digital asset market-making. The company published a Q2 2026 quarterly investor report.
▸Full profile — market position, technology, go-to-market, geography, history
Market position
Cap positions itself within the yield-bearing stablecoin and onchain private credit segment, an area that has drawn substantial capital and competition as stablecoin adoption has accelerated.
Technology
The platform is built as an onchain protocol issuing cUSD against approved deposited assets, with a stablecoin engine that routes capital to yield-generating operators and layers guarantee/underwriting coverage over borrower positions. Users can obtain additional yield via restaking protocols such as EigenLayer.
Go-to-market
Retail and institutional depositors seeking dollar yield; institutional borrowers requiring onchain stablecoin credit, such as trading and market-making firms; and capital providers acting as underwriters of guarantees.
Geography
Headquartered in New York City.
History
Cap Labs raised an early funding round of $3 million before announcing an $8 million seed round in April 2025, bringing total funding to $11 million, with the stablecoin engine slated to launch later that year, initially targeted for the second quarter.
Compiled by commissioned research from 6 cited public sources — announcements, filings, and press listed under research sources below.
Key figures
latest reportedCompany-reported or press-reported figures, each dated to when it was claimed — not independently audited.
Timeline · 2
launches, deals, and filingsFlow Traders began borrowing stablecoins through Cap, accessed via Lombard, to facilitate its digital asset market-making operations.
Cap Labs announced an $8 million seed round co-led by Franklin Templeton and Triton Capital, with participation from Flow Traders, Nomura's Laser Digital, GSR, IMC Trading, Nonce Classic, Curve founder Michael Egorov and LayerZero co-founder Bryan Pellegrino, bringing total funding to $11 million. Proceeds were earmarked for development of the company's stablecoin engine.
$8M source ↗
Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.
In the news
▸Research sources · 6
primary sources listed
- Cap Labscap.app · web
6 public sources were cited for this profile; the first-party ones are listed here.
Frequently asked questions
- What does Cap Labs do?
- Cap is a three-sided onchain platform for USD yield, private credit and financial guarantees, headquartered in New York.
- Who are Cap Labs's investors?
- Cap Labs's investors include AlphaLab Capital, Breed, Caladan, Flowdesk, Fourth Revolution Capital (4RC), Hyperithm, Paper Ventures, CMCC Global and 4 more.