3F, built on Morpho, raises $4 million to offer leveraged exposure to tokenized assets

3F, a vault protocol built on Morpho, has raised $4 million in funding to offer leveraged exposure to tokenized real-world assets.

That total includes a $750,000 pre-seed round and a $3.3 million seed round, Sonya Kim, co-founder of 3F, told The Block. The pre-seed fundraising began in July 2025 and closed in November 2025, while the seed round started in November 2025 and closed in March 2026, Kim said.

Both rounds were structured as simple agreements for future equity, or SAFEs, with token warrants on a one-to-one equity-to-token conversion basis, Kim said. She declined to disclose the valuation.

The seed round was led by Maven 11, with participation from F-Prime, the global venture capital firm affiliated with FMR, LLC, the parent company of Fidelity Investments, Susquehanna Crypto, GSR, Gate Ventures, and others.

Pre-seed investors included Steakhouse Financial, Rune Christensen, co-founder of Sky (formerly MakerDAO), and Sam MacPherson, co-founder of Phoenix Labs, the team behind Spark protocol. Maven 11 general partner Mathijs van Esch has taken an observer seat at 3F's board, Kim said.

What is 3F?

Built on Morpho, a decentralized lending protocol, 3F enables users to take leveraged exposure to tokenized real-world assets through a "one-click" process.

"Users select a supported RWA and a leverage factor, and the protocol handles the full position build: coordinating short-term bridge financing to acquire the underlying RWA, supplying it as collateral on Morpho and borrowing stablecoins against it to repay the bridge," Kim said.

She explained that building such positions typically requires a process known as "looping," where users repeatedly buy an asset, post it as collateral, borrow against it, and reinvest. While this can be done in a single transaction for crypto-native assets using flash loans, it becomes slow and complex for real-world assets due to settlement delays, Kim said.

"For a T+1 asset, for instance, building a 5x position through roughly 20 loops would take 20 days to enter and another 20 days to unwind," Kim said, adding that this exposes users to market and operational risks.

3F handles this process behind the scenes, completing it within a single settlement cycle of the underlying asset.

"Today, professional funds run manual loops on Morpho or Aave against these assets, but the trades are operationally arduous," Kim said. With 3F, the process becomes more efficient and lower risk to execute, she noted.

At the same time, Kim acknowledged that leverage comes with risks and trade-offs. These include the risk of yield spreads narrowing if borrowing costs rise, slower entry and exit due to settlement timelines, smart contract and regulatory risks, and exposure to underlying credit events.

Launch timeline

3F will initially support JAAA, a tokenized AAA collateralized loan obligation or CLO fund from web3 asset manager Anemoy, sub-managed by Janus Henderson and tokenized by Centrifuge.

3F expects demand for tokenized assets to grow as leveraged exposure becomes available. "A tokenized fixed income fund yielding 6%, financed at 4%, mathematically delivers 10-14% return at 3-5x leverage," it said. "That kind of profile gives on-chain capital a substantive reason to buy tokenized funds that it doesn’t have today."

As for 3F's business model, Kim said the platform will generate revenue through management fees on total capital deployed and performance fees on leveraged returns.

3F currently operates with a team of six and plans to hire in credit underwriting, technology, and security, Kim said. The new funding will support development as it moves toward launch, with a private beta opening this week and a broader launch expected in the second quarter, she added.

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