GSR, the crypto trading and market-making firm, is committing $100 million to a new onchain credit venture called Hare, with most of the capital structured as a multi-year credit facility.

The investment lands as institutional appetite grows for managed vaults that deploy digital and tokenized assets across lending markets and other yield strategies. Vaults.fyi tracked $8.6 billion in assets across 788 curated products as of July, with the segment reaching 1.4 million users.

Hare will build and operate the vaults alongside Turtle, a liquidity distribution platform that routes orders across trading venues. GSR's capital will sit in the products as anchor liquidity before outside investors arrive.

"GSR's commitment is deployment capital," Hare CEO Connor Milner said in a statement. "Issuers get liquidity from day one, and allocators see GSR's own capital in the same vaults as theirs."

What will the new vaults actually do?

Hare begins with two products running on lending protocol Aave. Hare USD Earn accepts major dollar stablecoins in a single pool. Hare Gold Earn lets holders of Paxos' tokenized gold products PAXG and PAXGy earn yield, with Paxos Labs partnering on the gold leg.

How does the vault model work?

Depositors park assets in a smart contract while a curator decides how to deploy that capital across lending markets or related strategies. In practice, the structure can turn assets sitting in a wallet into collateral or a source of yield.

Hare said it will concentrate on the credit side of the operation: evaluating collateral, vetting counterparties, and modeling how positions behave when markets come under stress.

Who else is building in the same lane?

The launch follows a string of institutional moves into curated vault infrastructure. Crypto lender Two Prime recently introduced a bitcoin lending vault on Pareto with $10 million in backing. Galaxy Digital rolled out Galaxy Curator, a Morpho-based vault platform that opens onchain yield strategies to Fireblocks' 2,400 institutional clients.

Milner previously served as senior director at London-based DeFi hedge fund Re7 Capital.

What changes for institutional allocators?

GSR's anchor commitment addresses one of the main frictions facing tokenized-asset managers: thin initial liquidity in new vaults. By placing its own capital first, the firm underwrites the credibility of each strategy and lowers the entry barrier for outside investors evaluating the same products.

The structure also ties GSR's balance sheet to the broader migration of traditional assets onto blockchain rails. With Paxos-issued gold tokens already trading in regulated venues, the gold vault could become an early test of how tokenized commodities enter institutional credit flows alongside stablecoins.

Hare's first vaults are expected to go live as GSR scales anchor liquidity, with broader allocator onboarding targeted in the quarters ahead.