Securitize has submitted a governance proposal to onboard HINC, the tokenized share class of the Neuberger Berman High Income Tokenized Fund, as supply-only collateral on Aave Horizon on Ethereum. The fund holds predominantly high-yield corporate bonds and CLO tranches, with USDC, GHO, and RLUSD borrowable against it. Neuberger Berman manages approximately $567 billion in AUM and is an SEC-registered adviser.
For Armada's crypto desk, this proposal signals that tokenized high-yield credit is actively being tested as DeFi collateral by credible institutional names. If Aave Horizon approves HINC, it creates a liquid reference point for how the market prices and margins illiquid credit in on-chain repo structures. Armada should establish a written policy on whether tokenized HY or CLO-backed instruments are eligible collateral before client requests arrive, given their materially different liquidity profile versus BTC or tokenized T-Bills.